A serious supply problem or a serious competitiveness problem for euro-zone industry?

The euro zone's manufacturing industry is currently characterised by: A rapid increase in unit labour costs (+9% year-on-year ); A small rise in consumer prices for industrial products. Euro-zone industry is therefore suffering from: Either a supply problem, with a sharp fall in profit margins and selling prices rising much more slowly than production costs; Or a competitiveness problem, if the small rise in consumer prices for industrial products is due to the low import prices of industrial products, while domestic producer prices (value added deflator) of industrial products are rising rapidly. We can see that these two mechanisms are in line with verified facts. Since early 2022, or mid-2022, there have been: A decline in industrial profit margins; A fall in relative import prices relative to the industrial value added deflator, and therefore a loss of competitiveness for euro-zone industry.