VDMA: Sales Still on Growth Track, Order Intake in Decline
By eTextile Communications
The sales of the German manufacturers of Textile Care, Fabric and Leather Technologies remain on a growth path, according to date from VDMA, the Germany-based association that represents 3.600 German and European mechanical and plant engineering companies.
In the period January 2023 to August 2023, sales increased by 20 percent in real terms, with sales from Germany up 61 percent year on year and from abroad up 9 percent.
New orders, on the other hand, fell 17 percent short of the previous year's result in the same period, with orders from within Germany down 7 percent and orders from abroad down a full 20 percent. In the most recent three-month period, June to August 2023, new orders fell by as much as 37 percent.
Rising Exports Throughout Sector
German suppliers of laundry and dry-cleaning technology increased their exports by 2 percent to 239 million euros in the first seven months of 2023, with Poland, France and the USA the most important export markets. German sewing and garment technology also saw exports rise by 3 percent to 247 million euros in the same period. The most important customer markets were Italy, the USA and France. Manufacturers of shoes and leather technology in Germany even recorded an increase of 19 percent to 37 million euros in the period January 2023 to July 2023, with the main customer countries being the USA, Mexico and France.
In the previous year 2022, exports of German laundry and dry cleaning technology increased by 15 percent to 421 million euros. Exports in the sewing and garment technology sector weakened in 2022, falling by 5 percent to 429 million euros. German manufacturers of shoe and leather technology, however, increased their exports by a full 25 percent to 59 million euros in 2022.
Italian technology suppliers reported growth in exports in all three sectors in 2022. Italian exports in the laundry and dry-cleaning technology sector increased by 2 percent to 442 million euros in 2022 and were primarily shipped to Turkey, Poland and Bangladesh. Exports by Italian sewing and garment technology manufacturers also increased by 17 percent to 317 million euros in 2022. The main customer countries were Turkey, the USA and Bangladesh. Italian shoes and leather technology suppliers increased their exports by 9 percent to 309 million euros in 2022, with the main customer countries being China, France and Spain.
"The mood among European manufacturers of Textile Care, Fabric and Leather Technologies is currently subdued, the outlook uncertain," said Elgar Straub, managing director of VDMA Textile Care, Fabric and Leather Technologies at the trade association's industry meeting in Stuttgart. "The continuing tense geopolitical situation, the ongoing labor shortage, as well as the still rising costs for energy and primary products are putting a strain on the entire industry and causing unrest in the markets. However, the resulting steady increase in customer demands for automation, digitization and sustainability, give hope for a surge in investment and thus an improvement in the order situation."
New Board Elected
In the context of the industry meeting in Stuttgart the new board of the trade association for the coming four years was selected. Günther Veit, managing director of Veit GmbH, has again been confirmed in his office as chairman. Klaus Freese, managing director of DESMA Schuhmaschinen GmbH, has been elected as vice chairman.
Also elected as vice chairman for the first time was Fabrizio Giachetti, CEO of Morgan Tecnica Spa.
This announcement was shared in eTextileCommunications October 12, 2023. VDMA is an associate member of SPESA.
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