Italian machine tool orders increased in the second quarter of 2013

According to BusinessWeek, the Italian machine tool industry improved in the second quarter of 2013, with orders up 0.7% year-on-year. In the first quarter, orders dropped by nearly 10%. Luigi Galdabini, chairman of the Italian Machinery Industry Association UCIMU, said that although the domestic market demand in Italy has decreased, there is a large demand for machinery investment, mainly due to lack of funds. Due to weak domestic demand, the Italian machine tool industry has declined for two consecutive years, with domestic orders falling by 21.2% in the second quarter, while foreign orders increased by 6.2%. In the first half of 2013, the UCIMU new order index fell by 6%, domestic orders fell by 29.6% year-on-year, and foreign orders fell by 1%. Galdabini believes that this is mainly because Italian machine tool manufacturers are facing a reduction in domestic demand, and foreign demand has also begun to decline. The current lack of investment in production technology is a practical problem facing the overall Italian economy and threatens all levels of the production chain. The Italian machine tool industry is now demanding that the conquest finance officials provide domestic manufacturers with strong capital investment terms and clear regulations to promote credit.