News

What impact do oil shocks have on manufacturing firms?

Published on the 7th of October 2025

chevalets de pompage sur fond de coucher de soleil

Increases in oil prices have persistent effects on manufacturing firms, causing their financial ratios to deteriorate for two to three years, while decreases have no significant impact. The impact of oil price increases is also greater for large companies, which are more dependent on raw materials, and for energy-intensive sectors.  

Updated on the 7th of October 2025