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The euro area (EA12) industrial new orders index increased by 2.8% in December 2006 compared to November 2006. The index grew by 1.1% in November but fell by 0.3% in October. EU25 new orders gained 2.7% in December 2006, after increases of 0.8% in November and 0.4% in October. Excluding ships, railway and aerospace equipment industrial new orders rose by 0.6% in the euro area and remained stable in the EU25 in December 2006.

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More than 40% of EU27 enterprises are active in innovation. Co-operation with customers and suppliers more frequent than with universities and public research institutes.
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The European Commission has today presented its vision for the single market of the 21st century. In an interim report to the Spring European Council, the Commission reviews the achievements of the last twenty years and sets out the way ahead to deliver further benefits for citizens and business, and contribute to a more competitive and sustainable Europe. It will be concluded by a final report with proposals for action this autumn.
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The Conference Board announced today that the leading index for Germany increased 0.1 percent and the coincident index increased 0.2 percent in December.

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In the construction sector, seasonally adjusted production grew by 0.5% in both the euro area (EA12) and the EU252 in December 2006, compared to the previous month. In November 2006, production increased by 0.6% in the euro area and by 0.5% in the EU25.

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Unemployment is down and employment on the rise according to the Joint Employment Report, to be adopted by employment ministers on 22 February. The Commission report - which assesses Member States’ implementation of their national reform programmes in the area of employment – is upbeat.
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Regional GDP per inhabitant in the EU27 GDP per inhabitant in 2004 ranged from 24% of the EU27 average in Nord-Est in Romania to 303% in Inner London.
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The first estimate for the euro area (EA12) trade balance with the rest of the world in December 2006 gave a 2.5 bn euro surplus compared with -1.1 bn in December 2005. The November 2006 balance was +5.1 bn, compared with -2.1 bn in November 2005. In December 2006 compared with November 2006, exports, seasonally adjusted, rose by 3.3% and imports by 6.7%.

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Economic growth in the European Union is set to stay at a brisk pace in 2007 with growth seen at 2.7% in the EU and 2.4% in the euro area in the European Commission's interim forecast. This is +0.3 percentage point above the autumn forecast for both areas.
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The UPS market in central and eastern Europe (CEE) is currently growing, with several uninterruptible power supply manufacturers expanding their operations in this region due to dwindling revenues in western Europe. The reduction of trade and political barriers is resulting in increased investments from the financial and manufacturing sectors in the region.
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