This is what emerges from the summary unveiled Monday May 6 by the department’s CCI.
According to her, the level of industrial activity remains sluggish, while commerce and crafts are each experiencing stability in terms of turnover. The decline continues, however, for housing, with a decrease of 36.4% in authorized housing in Haute-Savoie over 12 rolling months to the end of February. Finally, good news for international trade, with exports increasing by 3.2% in 2023.
Details from the CCI Haute-Savoie:
A simmering economic situation?
INDUSTRY: A level of activity which remains sluggish
The level of industrial activity remained sluggish in the 1st quarter (with turnover and investments however recovering slightly); even if it remains generally well oriented, the production capacity utilization rate continued to decline (73% compared to 76% the previous quarter). The recovery in order books – France & International – is erratic and heterogeneous depending on the company, as is the level of margins. Tensions continue on supplies, while they ease on recruitment.
INTERNATIONAL TRADE: Exports on the rise in 2023
2023 recorded an increase in export trade which amounted to €6,311 million (+3.2% compared to 2022); at the same time, imports fell by 9% (to €4,723 million). As a result, the balance of the trade balance is growing very clearly with a record surplus of €1,588 million, an increase of 72.1% compared to the same period in 2022. The ranking for the “client countries” is Germany, Switzerland, the USA, the Netherlands (8th customer in 2022) and Italy; for supplier countries: Germany, Italy, Switzerland, China and Spain.
COMMERCE: Prevailing stability
After several months of decline, the situation for retail businesses of less than 400 m² is stabilizing in terms of turnover, margins and average basket, with attendance experiencing a slight rebound but a level of activity still insufficient . By major branches, this stability is found for food, personal equipment and household equipment; the situation is better oriented for culture/leisure and conversely in decline for health/beauty. The 3-month outlook is consistent with maintaining the level of activity.
TOURISM: A decent winter season
The first results for winter 2023/24 show a decent season, whatever the period (with very good Christmas holidays). The occupancy rate of commercial accommodation in Haute-Savoie reached 57% overall (up 4 points compared to the previous winter); traders and restaurateurs are also satisfied with this season which has seen the return of “long haul” customers (particularly the USA). Skier days are up 4%, although some low-altitude resorts are experiencing difficulties.
SERVICES: A slight quiver
At the start of the year, the evolution of turnover is better oriented for catering and transport, whose activity was in decline the previous quarter. Turnovers are improving for some in real estate (which is also experiencing an increase in the number of clients) but the situation remains very difficult for the majority of professionals; business services are stable. The outlook is generally stable or even slightly more optimistic for the next 3 months.
CRAFTS: A stable activity
Artisanal activity was stable in the first quarter, although there was a downward trend – but limited – in turnover, particularly for manufacturing. Cash flow is holding up except for food. Building companies were ultimately not faced with any major economic developments, with activity holding up, particularly in relation to renovation.
AGRICULTURE: A decline in milk collection
Milk collection is in decline linked to the poor quality of hay. The cheese market remains stable, except for Beaufort which is in decline. Prices are stable or even increasing for animal production. Markets are dynamic for vegetables, arboriculture and viticulture (although for these two sectors there is a risk of late frost); Conversely, quotations are still falling for cereals given the global geopolitical context with abundant supply. Attendance at collective points of sale is increasing.
CONSTRUCTION & HOUSING: The decline continues for housing
Over 12 rolling months – at the end of February – authorized housing decreased by 36.4% in Haute-Savoie (-22.6% at the regional level and -22.2% nationally), as did housing starts (Haute-Savoie : -15.3%; Region: -25.4%; France: -25.6%). This withdrawal phenomenon also affects premises started (-29.3% over 12 months) while authorized premises increased by 25.9%. The housing units having benefited from MaPrimeRénov’ are down over one year (2,599 or -18%), for a decreasing amount of aid (€42.64 million or -17%).
EMPLOYMENT: A dynamic that is slowing down
In the 1st quarter of 2024, demand for “Category A” employment increased by 4.2% over 12 months with 33,390 applicants (Region: +1.5%). The unemployment rate for the 4th quarter of 2023 stands at 5.7% (+0.2 points) compared to 6.5% for the Region (+0.1 point) and 7.3% for France (+0.1 point). The use of “long-term” partial activity remains on the same trends as in 2023, with 2/3 of requests for industry. Cumulative Pre-Employment Declarations (114,203 / raw data) decrease by 1.2% compared to the 1st quarter of 2023; temporary work represents 52.5% of these DPAE (-2.3%).
