European machine tool demand is low

Due to the inherent technological advantages, the export of machine tools in Europe still maintains a certain upward trend. European machine tools have a clear competitive advantage in the international market, with a trade surplus of 10.5 billion euros in 2012. At the same time, European machine tool market demand decreased by 2% last year due to the decline in European business confidence.

In 2012, the European machine tool industry showed good export performance and weak domestic demand. Future growth will depend more on foreign orders. The reduction in investment in machine tools reflects that European companies are cautious about the development prospects, especially the decline in production in Southern Europe. With European manufacturing slowing, the amount of orders for internal machine tools in Europe in 2012 is expected to decrease by 99.33 million US dollars compared with 2011.

“If the production volume increases by 1%, the orders for the second half of the year must be kept in line with this. This time the expectations are once again focused on opening up the Asian market.” Luo Baihui, Director General of the Asian Manufacturing Championships Alliance, pointed out that as the largest market for the German machine tool industry, The rapid growth of China’s economy is already unstoppable. The main support portal, North America, will maintain stable market conditions this year. Russia, on the other hand, will continue to be an attractive customer because of the strong demand for modernization in its domestic industrial sector.