Material shortages in the German industrial sector intensified in June, with the share of companies reporting supply bottlenecks rising to 17.2 percent, according to the Munich-based ifo Institute.
This represents a 1.3 percentage point increase from May, signaling that supply chain friction is accelerating rather than easing.
The deepening shortage comes at a time when German manufacturers are already grappling with squeezed profit margins.
Rising global oil prices have begun to permeate the domestic economy, increasing costs for firms reliant on imported raw materials.
The combination of higher input prices and physical scarcity creates a dual pressure on industrial output and profitability.
This development complicates the broader economic picture for Germany.