After a record in production of some 4.2 billion euros in 2023, the VDMA expects a decrease in the woodworking machinery industry by 15 per cent in 2024. This would reduce the production value to 3.6 billion euros in Germany. In spring, VDMA was forecasting a decline of 10 percent.
“The positive market momentum at the beginning of the year was not sustainable, so we now have to revise our forecast downwards,” explained Dr. Bernhard Dirr, managing director of VDMA Woodworking Machinery.
Overall, customers in the woodworking and furniture industry are still hesitant to make investment decisions. The weak construction sector and low furniture consumption are causing problems for the industry.
“The significant production cutbacks and uncertainty about the near future are causing customers to hesitate with their technology purchasing decisions, despite the high demand for innovation. However, we see light on the horizon. The first interest rate cuts have been achieved. However, further courageous steps are needed to give a substantial boost to the construction industry and hence to the woodworking machinery industry,” added Dirr.
Overall, the VDMA Woodworking Machinery Association believes that order intake has bottomed out. Initial improvements due to regionally unspecific large orders and a stabilization of order activities for standard machines give reason to hope that there will be an improvement across all industrial sub-segments in the coming months.
“As incoming orders are reflected in production and revenue with a delay, we expect stagnation for the coming year 2025,” Dirr says about the forecast. “Automation solutions for all size classes, production concepts for new sustainable building materials and solutions for resource-efficient production will help the industry to return to growth. Added to this is the connecting of machines so that AI applications can be used across the entire value chain and production processes. We are certain that the woodworking machinery industry is on the right track. At LIGNA next May, we will ensure a revival in demand with innovations and new products.”
The VDMA represents 3,600 German and European mechanical and plant engineering companies. The industry stands for innovation, export-orientation and medium-sized companies. Around 80 per cent of the machines sold in the EU come from a production facility in the internal market.
