GENERAL NEWS
Economic prosperity in challenging times
During its General Assembly recently , CECIMO announced a turnover for 2022 of almost € 25 billion , which is 10 % higher compared to 2021 . CECIMO is the European association of machine-tool industries and related manufacturing technologies . It represents ( globally ) the common position of these industries whilst promoting co-operation with other organisations worldwide .
“ However , with global economies slowing down and lower consumer and business confidence , we foresee less optimistic developments in global demand in the near future . On the policy side , the General Assembly debated the uptake of advanced manufacturing technologies to enhance economic competitiveness while making our industry digital , green and resilient ,” it told ISMR .
“ Given the challenging times that the European manufacturing sector is experiencing , we expect some level of positive growth in 2022 . While European manufacturers are still experiencing supply problems due to the aftermath of the COVID-19 pandemic , the Russo-Ukrainian war brought with it new supply challenges , persistent inflation and a severe energy crisis in Europe . As central banks employ restrictive monetary policies to reduce inflation , manufacturers face lower funding opportunities . Moreover , if these measures remain in place , they might have a greater negative impact on the investment path globally ,” it added .
Bearing in mind that the energy crisis is affecting mainly European manufacturers , keeping its industries competitive on the global stage is becoming a pressing challenge .
As stressed by the President of CECIMO , Dr . -Ing . Heinz-Jürgen Prokop , during the GA meetings : “... policymakers need to ensure a favourable business environment in Europe to ensure investment growth and keep businesses in Europe .” CECIMO is therefore urging the EU and national policymakers to accelerate the process of finding appropriate , long-term solutions to stabilise the energy market .
New forecasts suggest that CECIMO machine-tool production will increase further by about 10 % in 2022 to reach almost 25- billion euros . CECIMO estimates a similar growth path globally , where the level of machine-tool production is expected to increase by approximately 12 % compared to 2021 .
“ According to the latest forecasts from Oxford Economics , strong growth in machinetool consumption amongst CECIMO countries is expected in 2022 , around 17 %, then slowing
Above : Dr . -Ing . Heinz-Jürgen Prokop , President , CECIMO . Right : Marcus Burton , Chairman of CECIMO ’ s Economic Committee .
to around 6.6 % in 2023 ,” continued CECIMO .
“ In terms of trade figures , given the rebound in overseas orders , we expect machine-tool exports to grow , and our latest forecast is about 10 % growth in 2022 . On the other side , in line with strong expectations of machinetool consumption growth in Europe , machinetool imports are expected to grow slightly faster , around 14.5 % in 2022 . The total trade balance should reach a surplus of around 7.8- billion euros in 2022 ,” it added .
Chairman of CECIMO ’ s Economic Committee , Marcus Burton , commented : “… a significant backlog of orders , new investment incentives linked to the green and digital transition and of course , the recovery of the purchasing sectors should be the main drivers of machine-tool production growth in 2023 .”
The 2022 CECIMO Fall Meetings ’ main conference focused on advanced manufacturing and brought together industry players and policymakers to debate the future of the industry and its competitiveness . Issues like geopolitical challenges and the energy crisis were central to the discussion , but optimism prevailed as speakers emphasized the opportunities the green and digital transition can bring to the sector . The conference also addressed the importance of investing in technology-driven skills , data analytics and artificial intelligence as key engines for smart manufacturing and the EU ’ s economic prosperity . n
Cyber security threat for global manufacturing
The cybersecurity issue has become even more pressing as the global industry addresses digitalisation , connected systems and the smart factory .
Almost half of Britain ’ s manufacturers have been a victim of cyber-crime over the last 12
Image : Shutterstock . com . months with over a quarter of respondents reporting a financial loss as the result of an attack , according to research by Make UK ( the manufacturers ’ association ).
“ As businesses adopt more digital technologies , the exposure to cybersecurity risks increases . Some 95 % say cyber-security measures are necessary for their company while two thirds said the importance of cyber-security has increased in the last 12 months . However , worryingly , 54 % decided not to take any further cybersecurity action despite the adoption of new technologies to boost production . The cost of the initial outlay on cyber-security remained the main barrier for business , along with the cost of maintaining systems ,” said the association .
“ UK manufacturers face a battery of cyber-security risks , ranging from simple employee error through to complex targeted attacks . Our research found that production stoppages were the most common result of a cyber-attack ( 65 %), with reputational damage ranking second ( 43 %). Companies further revealed that new customers now want reassurance on details of the cybersecurity in place before signing contracts ,” it added .
While cost remains the main barrier to companies installing cyber protection , the need to increase the use of the latest technology makes mounting a defence against cyber threats essential . n