Effects of Energy Price Shocks on Production and Prices

The increases in energy and input prices led to sales price increases for most of the companies surveyed. The price increases could only partially compensate for the cost increases for the majority of companies. Accordingly, most companies (65 percent) report a decline in profit margins. Although about half of the companies do not expect liquidity bottlenecks in the medium term due to the increased input prices, about 14 percent of the companies surveyed fear liquidity difficulties in the near future if the business situation develops as expected in the coming months. Around 15 percent of the companies surveyed report declines in production due to the price increases.