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EMO Hannover Blog

EMO World Tour successfully completed in the Perlfussdelta

February 2017
Author: Theodora Laser (Press and public relations)
Company: Verein Deutscher Werkzeugmaschinenfabriken e.V.
EMO World Tour successfully completed in the Perlfussdelta

With more than 10 million inhabitants, Guangzhou is the fifth largest city in China. Together with Shenzhen, Dongguan, Fushan and other cities, the province of Guangdong in the Pearl River Delta has 108 million inhabitants and is thus the most powerful economic region in China with an above-average high gross domestic product. The main industrial sectors in the region are electronic production, including consumer goods (mobile phones, TVs), household appliances, automotive suppliers and stainless steel. On top of that the region maintains close economic ties with Hong Kong and Macau. During the sixth and last EMO press conference in the Chinese Guangzhou, VDW CEO and EMO officer Dr. Wilfried Schäfer also held talks with representatives of the city of Fushan. The municipality showed great interest in EMO Hannover and would like to visit the world’s leading trade fair of metalworking with an economic delegation in September. Fushan is in close cooperation with Germany and the EU. This has already resulted in a model region for economic and scientific cooperation, which so far has been unique in China.

China’s economy has been taking a breather in recent years. The growth rates for GDP have settled down in the mid-double-figure range. For 2017 Oxford Economics is predicting a rise of 6.2 per cent. At the same time, the government’s official economic policy, as laid down in the current five-year plan, is focusing once again on the transition from quantitative to qualitative growth. Innovation, sustainability and quality are the watchwords. The intention is to increase capital investment in research and development. Nonetheless, there is quite a bit of uncertainty regarding the future thrust of development for the economy, reflected in subdued consumer spending in the domestic market, and a fall in imports. Exports, too, are down, due to reduced global demand. In this transitional period, the mood in the economy as a whole is quite naturally somewhat cautious. This is being reflected in the level of capital investment by the major user industries for machine tools, which in the current year is forecast to rise by only just over one per cent. There is significantly overproportional activity in the aviation sector, the automotive industry,in medical technology and electrical engineering. In the years ahead, growth rates in capital investment are expected to once again average between two and three per cent.

It is undisputed that top-quality production operations go hand in hand with investment in state-of-the-art production technology. In 2015, China recorded machine tool consumption of almost 22 billion euros, making it the world’s biggest market. More than a third of the equipment required was covered by imports, worth over 7.7 billion euros. China is thus also the world’s biggest importer of machine tools. Most of the deliveries came from Japan. Germany ranks 2nd, with a share of more than a quarter. In the past few years, German deliveries have decreased by about 20 per cent, another indication that China’s industrial sector is adopting a more cautious stance. In 2015, products worth 2.1 billion euros were supplied, predominantly machining centres. In the first three quarters of 2016, German exports to the Middle Kingdom totalled almost 1.4 billion euros.

Orders from China are signalling a turnaround in bilateral machine tool business. In the first nine months of 2016, they rose by almost a third, an increase primarily attributable to large orders from the automotive industry.

China is also the world’s biggest producer of machine tools. In 2015, machines worth around 16.6 billion euros were manufactured. To Germany, for example, one of the top five markets for Chinese manufacturers, machine tools plus parts and accessories worth 136 million euros were delivered in 2015. As far as exports are concerned, the government is keen to see even steeper rises in the future. More than 100 Chinese exhibitors have already registered for the EMO Hannover 2017, keen to showcase their range of machinery to top-ranking international production experts from the global elite. They will be primarily representing the categories of tools, accessories, metrological equipment, machining centres and lathes.

In order to modernise and enhance the international competitiveness of Chinese products, high-tech machines are essential. “This is why Chinese manufacturers need comprehensive information on new solutions for their production operations,” says Wilfried Schäfer of the VDW. Exhibitors at the EMO Hannover 2017 will include representatives from all important vendor nations for China’s industrial sector. Machine tool manufacturers from more than 40 different countries, including more than 400 from Asia, will there be spotlighting their production technology, ranging from simple, sturdy and affordable to high-priced high-tech. Both stand-alone machines and concatenated systems will be on show,plus transfer lines and large machines, featuring a high degree of automation. “There will be plenty to see at the EMO Hannover on the topics of Industry 4.0 and automation in particular,” says Dr. Schäfer. “It is the ideal platform not only for big investors,” is his explicit message to Chinese trade visitors. “We are especially keen to encourage mid-tier users of machine tools to find out in detail what the world of metalworking has to offer.” The last EMO Hannover in 2013 attracted more than 2,000 Chinese trade visitors.


Photo: VDW


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