German industrial production is increasing

Since mid-2003 industrial production in Germany has been increasing at a disproportionately high rate compared to the rest of the EU and machine tool builders will eventually benefit.
For the German machine tool building sector, which takes up the greatest exhibition space at METAV Dusseldorf 2006, business has been booming in Germany as elsewhere in Europe,' Dr Detlev Elsinghorst, Chairman of the METAV Committee, reported at the exhibition's opening press conference. In his opinion, both regions are crucial for the success of the event because most exhibitors and trade visitors come here. Since mid-2003 industrial production in Germany has been increasing at a disproportionately high rate compared to the rest of the EU.

There will be a delay before machine tool building profits from this because the consumers will first utilise existing capacities completely before they invest in upgrading and modernising them.

'The knot now seems to have burst; the investment hold-up at home is unravelling,' Elsinghorst declared.

With the exception of the automotive industry, all the major customer sectors in Germany are planning to invest heavily in the current year.

In past years, domestic and foreign demand diverged considerably.

Thanks to the dynamic demand from abroad, however, the industry was able to develop very dynamically in 2004 and 2005.

In the current year it is the consumer sectors at home that are causing demand to rise more strongly than was originally anticipated.

In the first four months, this rose by a satisfying 17%.

Foreign orders have remained stable at a high level.

Contrary to the forecast at the start of the year, when the VDW (German Machine Tool Builders' Association, Frankfurt am Main) was still envisaging stagnation, it now expects a further increase in production of 2% to EUR 10.6 billion.

'Within three growth years in succession, production growth will have accumulated to 16%,' according to Elsinghorst.

Against this background, the VDW expects exhibitors and visitors to enjoy a successful METAV Dusseldorf 2006.

At the trade fair, which runs for five days until 24 June, 925 exhibitors from 21 countries will present their products, solutions and services for the industrial manufacturing sector.

They will occupy seven halls of over 56 000m2 net exhibition space.

This makes METAV Dusseldorf the largest trade fair this year for manufacturing technology and automation in Europe.

Almost a quarter of the exhibitors are from abroad.

The biggest contingents are those from Switzerland, Italy, Spain, Austria, Japan, and the Czech Republic.

In terms of allotted floor space, milling machines and machining centres, precision tools, lathes, and peripherals and services are the most important sectors exhibiting.

At the last METAV Dusseldorf two years ago, around 60 000 trade visitors from 32 countries attended the event.