The German Machine Tool Builders' Association (VDW) has projected year-on-year growth of one percent for the current year for production in the German machine tool industry, following two years of substantial growth. "This means the sector will be back to its previous high from 2008," said Martin Kapp, chairman of VDW.
According to VDW, in 2012 the good starting position with full order books and capacity utilization at a high level sustained production. With growth totalling nine percent, the sector achieved a production volume worth €14.1 billion. German machine tool exports in 2012 reached €9.5 billion, indicating a rise of 20 percent year on year and constituting an all-time record high.
The association said that China is still the largest market for German machine tools, with a volume of around €2.4 billion and growth of 14 percent year on year. The Chinese market bought more than twice as many German machines as the second-largest market, the US.
The association also predicts that industrial production output and fixed-asset investments will show a steeper increase worldwide. The prime mover continues to be Asia. Mr. Kapp added that the macro-economic environment offers plenty of momentum in 2013. In the domestic market, by contrast, demand remains subdued amid discussions about tax hikes, the faltering energy turn-around, high energy prices, and the still-smouldering uncertainty in Europe's financial sector.
