German machinery manufacturers to increase sales

Germany’s plastics and rubber machinery manufacturers expect sales to increase by 3% in the current year (around 7 thousand million euros) and 4% in 2015 (around 7,3 thousand millio euros), says VDMA.

image_thumbUlrich Reifenhäuser, Chairman of the Plastics and Rubber Machinery Association, explains this development: “At K‘2013 in October, the Association predicted an increase of six per cent for 2014. On the basis of the data from the past six months and following the significant improvement in last year’s results, the figures have now been revised downwards.” In 2013, output growth amounted to 3.9 per cent, while exports were up by 4.3 per cent. Both figures set new records for the industry.

Sales to foreign customers are set to record small increases in both 2014 and 2015. “The outlook for the industry’s two most important markets, China and the US, continues to be positive, even though the very high recent growth rates will level off,” confirms , Managing Director of the Association. “However, the trend in deliveries to Russia, Brazil, Turkey and India is markedly negative. In Russia, the third largest sales market of the past few years, the potential effects of the political crisis surrounding Ukraine are not yet reflected in the figures at all.”

Some weaknesses were identified in the past year regarding orders received from domestic customers. But the order intake from Germany has been gaining momentum again for several months now with growth rates well ahead of those recorded for foreign orders. “We are working on the assumption that, given the general increase in investment in plant and equipment, this welcome development is set to continue this year and next, thereby providing a major stimulus,” confirms Ulrich Reifenhäuser.

German foreign deliveries of plastics and rubber machinery have achieved a small increase in their share of global exports: almost a quarter of all machines exported (24.5 per cent) was manufactured in Germany. China ranks second, a long way behind, with a share of 12.3 per cent, Japan is third with 9.9 per cent and Italy fourth with a 9.1 per cent share.