Euroquartz Group’s sales and marketing director, Andy Treble, is confident that as we approach 2024, business will build slowly as the year progresses
With falling inflation predicted, there is a little more optimism for 2024. Industry expectations are that demand will slowly increase in quarter one and steadily rise throughout the year. Excess inventories driven by component shortages should start to be reduced by the end of 2023, leading to increasing demand for 2024.
There are already positive indicators that the market is improving with enquiry rates increasing towards the end of 2023. There is also anticipation that consumer spending will increase, driving demand for components as economic conditions improve. This is the general consensus for smartphone manufacturers as their inventories are reaching healthier levels.
The German industrial sector is experiencing difficulties and there is concern that the political direction is moving to a de-industrialisation scenario, something that could impact 2024 trading.
Aerospace and defence are likely to see increasing demand in 2024 for companies involved in those sectors. We expect more subcontract assembly will return to Europe as the dislocations caused by China in recent years have raised concerns, especially with technology restrictions impacting exports to China.