Mergers and acquisitions at lowest level for eight years Global dealmaking was also depressed but by a smaller margin, as M&A in the US and Asia propped up figures. Globally there were 37,257 deals announced during the year worth $2.3 trillion, a 6.3pc slip on 2012. The US accounted for just under a third of all global deals, according to the figures, while China was second in M&A league tables, as volumes rose by 4.6pc. Deal inertia has continued in 2013 as many companies opted to spectate rather than participate in the M&A market. But we are at a tipping point and 2014 should finally see the turning point in this prolonged M&A recession. He added: "Deal fundamentals are strong in terms of cash and credit availability. Improving boardroom confidence means many large corporates are planning to achieve growth through acquisitions next year. After years of rampant dealmaking in the metals and mining sector, the industry saw a 51pc drop in M&A values this year and a 27pc fall in the number of deals, as transactions failed to match the size of Glencore and Xstrata's 2012 merger or Rosneft's TNK-BP buyout. However, global telecom deal values soared by 153pc, helped by the blockbuster $130bn Vodafone-Verizon deal. Global media and entertainment dealmaking was up 33pc while life sciences M&A also grew, by 32pc. There is a risk that companies will be lured into a false sense of security by the continuing low levels of activity but this belief could quickly turn out to be wrong if the market accelerates and competition for deals jumps in the upturn, Ernst & Young said.