Decline in incoming orders from Germany
VDMA Robotics and Automation halves growth forecast
The VDMA is forecasting an increase in turnover of 2% to EUR 16.5 billion for 2024. In December 2023, turnover was still expected to increase by 4% to EUR 16.8 billion. In the previous year, companies had achieved a record of 16.2 billion euros with an increase in turnover of 13%.
Robotics and automation in Germany is being driven in particular by foreign business in a subdued domestic economy. "The robotics and automation industry is treading water in a weak domestic economy," says Frank Konrad, Chairman of VDMA Robotics + Automation. "Uncertain customers are reluctant to invest. The German economy needs better framework conditions so that we can return to a solid growth path. In 2024, the industry expects impetus from abroad alone: here, incoming orders rose by 21% in the first four months of 2024."
China sets its sights on Europe
International competition for German robotics and automation is likely to intensify in the future due to the increased involvement of Chinese competitors in Europe. China is one of the most advanced economies in the world when it comes to industrial automation: according to IFR data, robot density in the manufacturing industry recently rose to 392 units per 10,000 employees, almost on a par with Japan (397 units) and Germany (415 units). Beijing is also specifically promoting its own high-quality Chinese robotics industry as part of its five-year plans. The trade disputes with the USA mean that Chinese companies will increasingly establish local service and sales structures in Germany and the EU.
Germany needs speed
"Politicians have recognized robotics and automation as a key technology for Germany's competitiveness," says Frank Konrad. "But now the pace of implementation needs to pick up: Germany needs a reliable framework for investment and new impetus in order to strengthen its competitiveness." To this end, the VDMA has drawn up a strategy paper entitled "Robotics and Automation 2028", which defines specific fields of action. The recommendations include industrial policy measures, accelerated innovation, the promotion of talent and practical regulation.
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