Export market USA and Mexico – The future of the industry
Once these American markets were big markets for European companies. But since the end of last year, this optimism has dropped. The insecurity regarding the future of those two countries is worrying European investors. A seminar organised by VDW at EMO will address these concerns.
They were major beacons of hope for international manufacturers of production technology: the USA with its re-industrialisation programme, and Mexico, which had evolved into one of the world’s most important automaking locations. But since the beginning of this year at the latest, industry representatives all around the globe have been wondering where the US-American economy is heading, and what is to become of its southern neighbour Mexico. The VDW (German Machine Tool Builders’ Association) will be investigating these questions as part of its Metalworking Growth seminar on 21 September 2017 at the EMO Hannover. After all, last year the USA was the second-biggest market for machine tools worldwide, with Mexico ranking 7th.
“For addressing our highly topical seminar theme, we’re partnering with Gardner Business Media, a company possessing excellent knowledge of both these markets,” reports Dr. Wilfried Schäfer, Executive Director of the EMO’s organiser VDW. Soundly based expert information, he continues, is indispensable for every corporate leader from the manufacturing sector doing business with these two countries. It’s all the more valuable when the experts concerned are able to base their assessments and appraisals on how the situation is actually viewed from within these two markets.
Exports are increasing despite scepticism
Travis Egan, the publisher of the Modern Machine Shop trade periodical, takes an optimistic stance. He perceives a highly upbeat mood among the manufacturers in both these countries, and promises good business opportunities for every vendor able to utilise this optimistic atmosphere in his favour. The figures issued for the German machine tool industry’s first quarter, for example, prove him right: German exports to the USA have increased by 16 per cent, with exports to Mexico even up by more than one third. “Needless to say, this trend has its roots in last year’s order bookings,” explains Dr. Schäfer. Many large-scale orders in project business with these two countries’ automotive industry had ensured high growth rates. But in Mexico at least, ordering activity slumped considerably during the year’s first quarter, whereas order intake from the USA continues buoyant.