Economic Situation - vdma.eu
Economic Development & Business Situation
The economic cycle plays a significant role in almost every area of the economy. After all, it plays a key role in determining the well-being of companies and employees. In fact, it is particularly relevant in the machinery and equipment manufacturing sector. After all, it plays a key role in determining the well-being of companies and employees in the mechanical engineering sector.
As in the previous year, demand for capital goods remained subdued in 2025. Global turnover of machinery and equipment amounted to an estimated 3.3 trillion euros, roughly the same as in the previous year.
Every month, around 10,000 companies - including 400 mechanical engineering companies - from Germany report their assessments to the economic research institute as part of the ifo Business Survey. Not yet a reporter? Then it's high time!
Although the situation in supply chains has eased, prices remain an important issue. To get an overview of current developments, it is worth taking a look at the interactive report.
The quarterly report contains relevant key figures such as production, sales, profit and investment trends in the local machinery & equipment industry as well as important customer industries in China.
Economic development varies greatly around the world. Signs of recovery are currently still muted.
In 2026, global machinery and equipment turnover is expected to grow by 2% on a price-adjusted basis. Growth in Asia will remain above average. Stagnation looms in the EU-27.
The global economy is in a phase of reorientation, characterized by uncertainty, fragmentation and technological transformation.
Mechanical and plant engineering is one of the world's most important industrial sectors. We show the wide range of its economic indicators - presented in interactive charts and tables.
Stay successful in a volatile market: VDMA offers an interactive report on European business climate indicators. Follow the developments of your most important European target markets and customer industries at a glance and make informed decisions based on current data.
In 2024, German machinery exports to Latin America increased by 0.8% - after three previous years of strong growth. The Chart Pack provides facts and figures on the market.
VDMA regularly generates data sheets with important indicators for its members. Raw data from various sources are processed for these. The latest data are provdided in our statistics database.
The VDMA statistics database offers all VDMA member companies fast and convenient access to economic information on all aspects of mechanical engineering.
In the last two years, the bottlenecks on the labor market for engineers have become much more acute. Never before has the mechanical engineering sector been looking for so many employees, and never before have there been so many vacancies for engineers.
The global mechanical and plant engineering industry reached a new record high in 2021. In euro terms, around 15% more machines were sold than in the previous year. China cracked the 1 trillion euro mark.
In 2022, machinery and equipment sold worldwide was worth almost 3.4 trillion euros. In euro terms, this is around 12 percent more than a year earlier. In the TOP 10 country ranking, there were changes from seventh place onwards.
The brochure "Mechanical engineering - figures and charts 2022" provides a comprehensive overview of all the important statistics relating to mechanical engineering.
A strongly rising order intake, better capacity utilization and a real production increase of 6.0 percent in the first four months of the current year: The economic momentum in the mechanical engineering industry is increasingly gaining momentum.
The majority of companies in the mechanical and plant engineering sector are planning to recruit new staff. The situation has improved for young talent as the companies plan to expand their vocational training and dual study programs. Companies, on the other hand, are threatened with personnel bottlenecks that could endanger their innovative thrust.
Subsaharan Africa's growth has long been at a low level. Accordingly, the importance of its market for international machine manufacturers was low for a long time. However, the subcontinent is likely to gain in importance in the future due to its dynamic population growth compared to the rest of the world. In the next 30 years, Subsaharan Africa's demand for machinery could multiply.
Demand for capital goods remains robust. However, shortages of materials are hampering the progress of orders to varying degrees.
The EU Commission forecasts 9 percent price-adjusted growth in investment in machinery and equipment in 2021 and another 7 percent in 2022.
In the first quarter of 2021, order intake in the German machine tool industry rose by 26 percent compared to the same period last year. Domestic orders increased by 10 percent. Foreign orders were 35 percent higher than in the previous year.
In February, the machinery and plant engineering sector achieved a double-digit growth rate in incoming orders for the first time since October 2018.
The mood among mechanical engineering companies improved again in August. This marks the fourth consecutive increase in the business climate. The companies' assessments of the current situation have indeed made a leap upwards. Nevertheless, many mechanical engineering companies continue to assess their economic situation as poor. Expectations, however, continue the positive development of the previous months.
Many machinery and plant manufacturers are again somewhat more sceptical about the coming months. According to a new VDMA survey, only 18 percent of companies expect a return to the sales level of 2019 as early as 2021.
Learn more about our statistics at VDMA Robotics + Automation.
Information on the development of incoming orders for manufacturers of compressors, compressed air and vacuum technology can be found here.
CECE has launched the new platform www.compliantconstructionmachinery.eu, a key resource for customers, users, customs officials, and market surveillance authorities.
Everything you need to know about worldwide sales, exports and imports
There are many reasons for European companies to think about diversification of supply chains, production sites and sales markets. Indonesia is increasingly coming into focus in the machinery and plant engineering sector.
Mechanical engineering in Baden-Württemberg is the leading center of German mechanical and plant engineering.
With a monthly update, which is exclusively available to VDMA member companies for download, we inform you about the development of price indices for process engineering goods.
Flash survey in the general ventilation technology sector: sales expected to fall by 7 percent in 2020 Forecast: slight growth of 2 percent in the coming year
The current Annual Report has been reissued on the occasion of the 2022 General Meeting.
Exclusively for its member companies, the Fluid Power Association publishes the "Fluid Power Data Sheet" on a quarterly basis.
In 2022, the mechanical and plant engineering sector in eastern Germany continued the solid performance of the previous year. However, the individual federal states performed differently.
VDMA committed to shaping Manufacturing-X; New edition of the Electrical Automation Industry Guide; Current fields of action of the Wireless Communications for Machines Working Group
Current forecasts, key figures and background information on agricultural conditions, business and market development - worldwide, in Europe and in Germany.
The German robotics and automation industry forcasts its turnover to grow by 6 percent in 2022.
Berlin's mechanical engineering companies have returned to growth in 2022. Brandenburg's companies lost ground compared with the previous year's impressive result, but achieved a good level.
Regular update of forecasts, key figures and background information on international agricultural machinery economy.
Geopolitical tensions between the United States and China - often referred to as "decoupling" - are growing. How is the mechanical and plant engineering sector managing this? The VDMA conducted a member survey to find out.
Interview with Jörg Mosser, Director Sales, Service & Marketing, Messer Cutting Systems GmbH
A new perspective on raw materials and their importance for the energy transition is indispensable for the success of the climate transition in Germany. Digitalisation and the reduction of bureaucracy will help.
Machine vision in Germany is expected to achieve a turnover of 3.3 billion euros in 2022.
Backlog of orders is reduced I International business becomes growth engine I German housing construction with gloomy outlook
"In the first quarter of this year, orders for our industry continued to run smoothly," commented Dr. Wilfried Schäfer, managing director of the VDW (German Machine Tool Builders' Association), Frankfurt am Main. "They were only 8 percent below the record year of 2018," he explained further. However, the effects of the Russia-Ukraine war are expected to show more strongly in the coming months, he said.
"In the first quarter of this year, orders for our industry continued to run smoothly," commented Dr. Wilfried Schäfer, managing director of the VDW (German Machine Tool Builders' Association), Frankfurt am Main. "They were only 8 percent below the record year of 2018," he explained further. However, the effects of the Russia-Ukraine war are expected to be felt more strongly in the coming months, he said.
Due to a real production increase of 67 percent in June 2021, the Dutch mechanical engineering industry was able to close the second quarter 38 percent above the same period last year.
Rapid recovery after the Corona-related economic dip.
Description
Elevator industry sentiment dipped again in May 2021. The Elevator Index fell for the third consecutive month in May 2021. Further, the Corona situation continues to impact expectations in particular.
The mood in the elevator industry brightened considerably in June. Companies assessed their current business situation as considerably better, while optimism with a view to the second half of the year increased only cautiously.
The mood in the German elevator industry also improved noticeably in July.
Sentiment in the German elevator industry dipped slightly in August. The elevator index rose to 139.8 points in July from 142.1 points in July. Material shortages and supply bottlenecks impact both business situation and expectations
DescriptionThe mood in the German elevator industry deteriorated further in September. The elevator index fell to 125.9 points in September, after 139.8 points in August. Expectations in particular have fallen sharply
In cooperation with CETOP and ISC, the association is offering its members the chance to obtain first-hand information on the economic situation both in Germany and in other countries with the new web conferences.
"Orders are also 11 percent higher compared to the pre-Corona level in 2019," Schäfer said.
Despite increasing impairments in the supply chain and the shortage of skilled workers, the business climate in the Austrian mechanical and plant engineering sector remains at a very high level. However, there are initial signs of a slowdown in momentum.
A recent study by Deloitte sees German SMEs currently doing very well and correspondingly optimistic. However, there is a need to catch up when it comes to digitalization.
Six-percent economic growth. Six trillion dollars in rescue funds. The U.S. government prepares the path for an economic rebound. This means good news for the German manufacturing sector.
In the third quarter of 2021, order intake in the German machine tool industry rose by 69 percent compared to the same period last year. Domestic orders increased by 67 percent. Foreign orders were 71 per cent up on the previous year. In the first three quarters of the current year, orders from German manufacturers rose by 61 per cent. Domestic orders were 47 percent higher than in the previous year, foreign orders 69 percent.
In the third quarter of 2021, order intake in the German metal forming industry rose by 35 percent compared to the same period last year. Domestic orders increased by 22 percent. Foreign orders were 42 percent up on the previous year. In the first three quarters of the current year orders from German manufacturers rose by 39 per cent. Domestic orders were 17 percent higher than in the previous year, foreign orders 54 percent.
Order intake in the Bavarian mechanical and plant engineering sector in September was 212 percent higher than a year earlier. Large-scale plant business played a decisive role in this.
VDW raises production forecast for 2021
Incoming orders in the Bavarian mechanical and plant engineering sector were up 114 percent year-on-year in August.
At the beginning of September, the Export Working Group held its meeting at Fliegl in Mühldorf, Bavaria, which had originally been planned for the spring.
Order intake in the Bavarian mechanical and plant engineering sector was 44 percent higher in July than in the previous year.
Incoming orders in the Bavarian mechanical and plant engineering sector were up 59 percent year-on-year in June.
The tenth Corona Flash Survey on the economic impact of the Corona pandemic ran at the end of March/beginning of April. You can see the aggregated feedback of 726 member companies according to the six German VDMA regional associations and for the second time also the special evaluation for Austria.
VDW raises production forecast for the machine tool industry in the current year
In view of rising costs and increasing regulations, maintaining profitability and liquidity is becoming more and more of a challenge for dairy farmers.
Current forecasts, key figures and background information
Incoming orders in the Bavarian mechanical and plant engineering sector were up 59 percent year-on-year in June.
Order intake in Bavarian mechanical engineering March 2021
Important questions on this topic
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How is the economic situation of the German machinery and equipment manufacturing industry developing?
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How is the international economic situation developing with regard to machinery and equipment manufacturing?
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How is the economic situation developing in the specialist branches of the German machinery and equipment manufacturing industry?
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In this one-hour webinar, you will learn how companies can manage risks and exploit new opportunities in a volatile global market environment. Aiste Bijune, expert from Euromonitor International, will provide a concise overview of current economic developments and practical strategies for more resilient growth.
Meeting of management and sales managers of Chinese subsidiaries of VDMA member companies of the Power Transmission Engineering, Fluid Power and Electrical Automation associations
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