The European Machine Tool industry confirms its growth forecast for 2008 despite the current global economic turbulences
Published : October 29, 2008
The CECIMO 2008 autumn General Assembly, which was held in Paris on October 24th and 25th 2008, confirmed the good production growth in the European machine tool industry for 2008.
Production is still growing (+9% expected in 2008) and should reach a volume of 24.7 billion € (22.7 billion € in 2007). The CECIMO members will have a leading 46% global market share in the production of machine tools (44% in 2007), well ahead of Japan (18%) and China (15%).
Growth forecast is all the more satisfactory as the general outlook for 2008 in European industrial production is flat. Mr. Javier Eguren, President of CECIMO: “The European machine tool industry is indeed coping with the current financial and economic turbulences, due mainly to several-month long order backlogs that ensure revenues up to 2009 and due to the secure nature of the capital goods and mechanical engineering sectors, in comparison with some other currently more volatile investments in the service sector.”
37% of the 2008 production in CECIMO countries will be sold outside Europe 1 and we expect exports to grow by 7% in 2008. In the first half of 2008, exports were particularly strong to America (USA and Brazil), Russia and India. Despite a strong euro, this growth in exports shows evidence that European machine tools are sought after for their advanced quality and performance, due to strong investments in research and development.
In 2009, there will be a flat growth in production, due partly to the likely impact of the current global financial crisis on capital investments. It is important that the financial system is capable of maintaining the credit to finance the capital investments of our customers in the manufacturing industries. Mr. Filip Geerts, Secretary-General of CECIMO: “We expect that the European manufacturers of machine tools will be able to reduce the impact of the economic downturn due to a diversified portfolio of clients, whether by regions (the economic fundamentals of emerging markets are still strong) and by end-user industries (aerospace and energy are for instance currently offsetting the downturn in the automotive industry).
CECIMO STARTS NEW PROMOTIONAL CAMPAIGN
CECIMO and its 15 national member associations have launched a promotional campaign to reinforce the awareness of the importance of the machine tools sector to European industry, whether in terms of GDP, competitiveness, innovation and employment. “Where manufacturing begins” is the new tagline that will be associated with the European Machine Tools sector from now on. It has been designed to emphasis the enabling technology provided by the machine tool industry to many end-user industries in the capital and consumer goods sectors.
Information: Filip Geerts, Secretary General - Mobile: +32 (0) 475 62 06 62
ABOUT CECIMO:
CECIMO and its 15 national member associations represent and promote the interest of 1,450 European companies, accountable for 85% of the European production of machine tools and 46% of the world production of machine tools. Founded in 1950, CECIMO is recognized as the representative worldwide of the common interest and values of the European machine tool industry. CECIMO is the platform to identify and promote key strategic initiatives to improve the competitiveness and leadership of the European machine tool industry. CECIMO has a staff of 6 people in Brussels.
