GENERAL NEWS
Order bookings in the German machine tool industry .
Demand for German machine tools continues to decline
According to the VDW ( German Machine Tool Builders ’ Association ), orders received by the German machine tool industry in the second quarter of 2024 were 28 per cent down on the same period last year . Orders from Germany fell by 13 per cent whereas those from overseas dropped by 33 per cent . Orders received in the first half of 2024 were 26 percent down on the same period last year . Domestic orders were seven per cent lower . Orders from overseas were 33 per cent below the previous year ’ s figure .
“ The order volume is at its lowest level since Q4 2020 ,” summed up Dr . Markus Heering , Executive Director , VDW ( German Machine Tool Builders ’ Association . “ Overseas orders fell significantly , whereas those from Germany held up better . However , this is not due to the hoped-for turnaround , but rather the result of a handful of project-based business deals ,” he continued .
Overall , said the VDW , business levels are down across all customer sectors and markets . The picture was slightly brighter in individual sectors such as aviation , medical technology , power engineering and shipbuilding .
“ Interest in electric vehicles is currently sluggish , as evidenced by the weak sales figures . Performing significantly better than the new machine business at present are service , components , repairs , maintenance and conversions . Automation remains a key driver in the sector ,” added the association .
It does not expect orders to stabilise to any great extent until the second half of 2024 , with hopes being pinned on the final quarter in particular . Major industry trade fairs could
Dr . Markus Heering .
provide impetus for this . Nevertheless , said the VDW , orders are expected to be significantly down in 2024 , as a whole .
VDW ’ s forecasting partner , Oxford Economics , is expecting to see a distinct broad-based recovery in demand for machine tools across all regions in 2025 and 2026 .
“ The international market is predicted to pick up strongly again . However , the momentum in Germany is expected to be significantly weaker ,” explained the VDW .
“ The forecast growth will not , however , be able to compensate for losses from the last two years ,” outlined Markus Heering . Previous peak values are still far from being matched . Overseas markets are almost back up to the 2018 levels in nominal terms , but domestic markets have lost ground for structural reasons , concluded the VDW executive director .
“ Sluggish new orders and the dwindling levels of orders on hand mean that producers should resign themselves to significant reductions in the current year . A fall of eight percent is forecast ,” concluded the VDW .
The German machine tool industry ranks among the five largest specialist groupings in the mechanical engineering sector . It provides production technology for metalworking applications in all branches of industry and makes a crucial contribution towards innovation and enhanced productivity in the industrial sector as a whole . n
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Tata Steel ’ s Llanwern steelworks breaks production record
Welsh steelworkers at Tata Steel ’ s Newport site set an all-time record for its ZODIAC galvanising line . Tata Steel UK ’ s Llanwern steelworks has set a new output record of 14,077 tonnes in a week , beating the previous record by 242 tonnes , following the implementation of a new technology system on its ZODIAC galvanising line . The record makes it the most productive week in the ZODIAC line ’ s 35-year history .
The zinc-coated steel made in Llanwern is used to make car body parts and building components that supply manufacturers across the UK .
Llanwern ’ s new technology system , OSCAR , allows for the complete automation of the line including seamless transitions between shifts . The trial has demonstrated that the plant ’ s aim of producing 600,000 tonnes of zinc-coated steel strip this year is achievable .
Llanwern works manager , Craig Phillips , said : “ This new production record is the embodiment of all the hard work from the teams here at Llanwern . It is the result of our continued investment and drive for productivity gains as we compete in ever more challenging global markets .
“ We understand the importance of continuously improving our processes in line with customer demands . Successfully implementing this new technology will help to ensure consistently high-quality products and further efficiency in our operations . As Tata Steel UK looks towards its decarbonisation objectives , change and improvement is high on the agenda . As a team in Llanwern , we ’ re increasingly confident that we can be at the forefront of green steel production for our key markets , including the automotive sector , serving customers such as JLR and Nissan ,” he continued .
Nick Collins , Manufacturing Manager , Llanwern , added : “ This has helped us to optimise zinc usage and improve production speed and energy , whilst ensuring we continually improve product quality . This record is a sure sign of how the team can reduce bottlenecks and consistently manufacture high-quality products for our customers .”
For more information see : www . tatasteeleurope . com / sustainability / green-steel-future n
www . tatasteeleurope . com
12 | ismr . net | ISMR October 2024