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German machinery manufacturing faces serious challenges in China
Machine tool manufacturing is a key industry for German industry and exports. However, in December 2013, total machine tool orders fell by 6% compared to the same period in 2012, of which domestic orders decreased by 10% and export orders decreased by 4%. In the three-month period from October to December, total German machine tool orders fell by 3%, of which domestic orders fell by 4% and export orders fell by 4%. For Germany and neighboring European countries, December 2013 suffered a huge shock, according to Raffer, chief economist at the German Machinery Manufacturing Federation VDMA. 'Today, we're pinning our hopes on 2014, that things will improve,' he said. Wei Xieshi, chief economist of the German Machinery Manufacturing Federation, said that the German machinery and equipment manufacturing industry must continue to be under pressure. Domestic orders reflect the current sluggish investment activity in Germany, and machinery orders from euro partner countries are also less optimistic. In addition, it is an indisputable fact that the global construction machinery concrete field is dominated by 'Made in China'. In terms of industrial layout, Germany's Putzmeister and Germany's Schwinger, which were once among the top three in the world, have successively been included under the 'Made in China' banner. With one increase and one decrease, the German construction machinery field is facing the heavyweight challenge of Chinese construction machinery. German machinery orders have fallen. On the contrary, can this be a growth opportunity for my country's construction machinery? Chinese machinery manufacturers are currently active in the international market, and their market share has increased from 15% before 2008 to the current 30% %. Of course, the huge domestic market is also one of the reasons for the rapid growth of China's machinery manufacturing industry. China also exports its products to threshold countries that do not have machinery manufacturing at home. The machinery produced by those famous Western manufacturers is characterized by a very high technical content and is suitable for use in Western countries. Emerging markets dominated by threshold countries clearly need popular products that are simple, less electrified, durable and easy to maintain. Therefore, standard construction machinery in China is more practical than high-end construction machinery produced in Europe. In the face of the continuous updating and development of China's machinery product productivity and technology, European countries, including the German machinery manufacturing industry, will face serious challenges, and even the danger that they will eventually be replaced by 'Made in China'.