German machinery makers expect 20% sales drop in ’09
By David Vink
EUROPEAN PLASTICS NEWS STAFF
FRANKFURT, GERMANY (February 24, 2009) -- The German Plastics and Rubber Machinery Association started to experience a decline in orders in mid-2008, but despite a sluggish few months, the year ended
with a 7 percent growth to an all-time high of 5.6 billion euros (49.2 billion yuan), in line with earlier forecasts.
But lower order levels will have a marked effect in 2009, with the group predicting that the year will end with a 20 percent drop in sales. The expected decline is based on currently available data,
but there is insufficient information to forecast when the slide will end, warned the association, which is part of the Frankfurt, Germany-based engineering federation Verband Deutscher Maschinen-
und Anlagenbau (VDMA).
Machinery producers are being hit especially hard by a drop in demand from the automotive and construction industries -- important end-use sectors for plastics products. But there are some reasons to
be positive.
“German plastics and rubber machinery has particular strengths in energy and resources efficiency,” said the association’s managing director, Thorsten Kühmann.
“Farsighted processors know that competitive advantages are only to be achieved if costs for material and energy are reduced. The foundation stone must be laid now: only those who optimally prepare
their company during the crisis will be fit for the next upswing.”
European Plastics News is a sister publication to Plastics News.
Plastics News' extensive coverage of NPE2009, North America's largest plastics trade show, included 17 news videos
shot on-site in Chicago. View the English-language clips here.
