Germany Machine Tool Market Pulse and Industrial Application
Trend

Germany Machine Tool Market Pulse and Industrial Application

Germany is the second-largest producer of machine tools in the world, after China. Advanced German machine tool technology has led the development of the machine tool market.
Published: May 16, 2022
Germany Machine Tool Market Pulse and Industrial Application

Machine Tool Market Overview in Germany:

In 2021, the output value of German machine tools was 11,011 million US dollars, of which 7,377 million US dollars was exported. 67.0% of the machine tools manufactured in Germany were exported. The value of imported machine tools was 2,255 million US dollars. This was 37.2% of Germany’s total machine tools consumption value of 6,061 million US dollars. Export growth rate reached 11.5%, with the top three export market countries of China, the United States, and Italy, accounting for 39.4% of exports.

Germany Machine Tool Domestic market:

Looking at the German domestic market, the automobile and component manufacturing industry is the industry leader in Germany, and about 45% of the global machine tool application field is in the automotive manufacturing industry. The changes in German machine tool consumption are closely related to the automobile industry.

Main Application Industries of Machine Tools:

  1. Automobile manufacturing:
    Germany's auto and component ecosystem includes thousands of companies with a complete upstream and downstream supply chain. Especially in the brand side and Tier 1 manufacturers, it is also the leader of the global auto industry, with brands including Mercedes-Benz, BMW, BOSCH, and other companies.
    German car sales declined in 2021, with 2.62 million new vehicles registered throughout the year, a 10.1% decrease from 2020. However, the decline in non-market demand was mainly due to supply chain disruptions, especially the shortage of chips, which caused manufacturers to be unable to meet delivery orders. The market trend of the German automobile manufacturing industry over the past five years has been a decline in the output value and export value of fuel vehicles, while the sales of electric vehicles has grown significantly. At the same time, with the EU's plan to ban the sale of fuel vehicles in 2035, both Germany and Japan are developing new technologies for the fuel vehicle markets, and are focusing on biomass fuels to replace gasoline and diesel fuel produced from refined petroleum.
  2. Semiconductor Industry:
    In 2021, the German government planned to provide huge funds to solve the problem of semiconductor supply chain interruptions, allocating nearly 11 billion US dollars to attract semiconductor companies from various countries to set up factories in Germany and promote local production. The German Ministry of Economic Affairs has selected 32 investment plans for microelectronics-related industries, from upstream chip design, mid-stage chip production, packaging, and testing, to downstream electronic system integration. It is hoped that the EU's Important Projects of Common European Interest (IPCEI), can resolve the lack of chips and overseas dependence, and further resolve the problem of interruption of production in Germany's automobile manufacturing industry.
    The German semiconductor industry is one of the top 10 in the world by revenue. Among them, the largest semiconductor factory in Germany is Infineon, which mainly develops chips for the automotive semiconductor market. Other semiconductor brands include NXP, Renesas, TI, and ST. In addition, electric vehicles use a lot of technology applications such as IoT, 5G, and AI, and the demand for high-power, third-generation semiconductors has also increased significantly. As Europe gradually attaches importance to the stability of semiconductor manufacturing and regional supply chains, and the government develops a related semiconductor factory subsidy bill, it is expected that more demand for semiconductor equipment will be created in the future.
  3. Energy Industry:
    The European Union is one of the most active regions in the world in promoting green energy. In recent years, the European Union has actively promoted the Carbon Border Adjustment Mechanism (CBAM) carbon emission management mechanism. It is expected that the CBAM policy will have a comprehensive impact on the global manufacturing industry and related supply chains. Initially, the carbon emissions from the production of steel, cement, fertilizer, aluminum, and electricity will be declared and controlled. From 2026, carbon emissions fees will be charged for designated commodities, and commodities exported from Europe will also be required to follow CBAM specifications.
    Presently, machine tools used mainly in the automotive, aerospace and defense, electronics, and motor industries, account for about 3/4 of machine tools being used in Germany, with other industries accounting for the remaining 1/4.
    It is estimated that over the next 10 years, the production of energy equipment for offshore wind power and large-scale energy storage systems will bring new market demand for machine tools. In addition, the energy system application market will gradually shift from oil and natural gas drilling equipment, storage/transportation devices, coal and fossil energy power generation systems, nuclear power generation systems, etc. to renewable energy power generation systems (solar, wind, biomass) and new forms of various advanced energy storage systems.

Analysis of the Development Trends of Machine Tool Technology:

Germany is the world leader in machine tool technology, and the development of German machine tool technology represents a future trend in machine tool technology. Most of the machine tools produced in Germany are high unit-price models. Due to technology-intensiveness, most German machine tools are directly sold to user manufacturers and machine tool manufacturers cooperate with these purchasers using interactive consulting services. Some machine tool manufacturers even set up training factories to show the characteristics and advantages of the products, providing an environment for potential customers to operate on a real machine.

  1. Production line customization:
    For end-users of machine tools, highly customized products with a variety of small variations have gradually become the norm. Therefore, machine tool manufacturers need to take necessary measures to meet customers' customized needs for processing technology, production equipment, and factory management.
  2. Diversified smart functions:
    Combining intelligent machine equipment with technologies such as sensing, communication networks, cloud computing, data analysis and simulation, machine learning, and decision assistance can realize pre-processing simulation, visualization of machine operation information, health status monitoring, predictive maintenance, tool management, automatic scheduling, and other functions.
  3. Process virtual and real-world integration:
    Create a real-world object in the digital world, use it to perform various tests, and then send the object’s digital world data back to the real world.

Industry 4.0 Trends:

  • IoT system integration:
    While collecting data, factories must integrate huge data with IT, and finally use and manage them. Related technologies include virtual-real integration and cloud computing, etc., which can be applied to predictive maintenance to improve production efficiency.
  • Independent production:
    From automated manufacturing to machine learning self-optimization, independent production reduces outside interventions and provides flexibility for production lines. In the face of an aging society, with the labor force declining, independent production and automation will help keep industries in their own countries.
  • Digital clone:
    Digital cloning allows one to manipulate photos, videos, and audio to create hyper-realistic videos and photos that are very difficult for the human eye to distinguish between what is real and what is fake. It is an emerging technology that will play an increasingly more important role in the production of physical products. By simulating results caused by different forms of input, this information can be used to optimize production line processes.
  • Information security and efficient use of energy:
    Due to the increased integration of the physical world and the digital world, the flow of data has greatly increased, and the risks encountered in production chains has also increased, so more and more attention is being paid to information security issues. To achieve the goal of net-zero carbon emissions, improving energy efficiency has also become a trend.
Published by May 16, 2022 Source :maonline

Further reading

You might also be interested in ...

Headline
Trend
Refining the Essence: Three Fundamental Pillars of Smart Industrial Manufacturing
The conventional manufacturing sector stands at a crossroads necessitating a shift towards intelligent transformation. By incorporating advanced production technologies, a new era of industrial development is inaugurated.
Headline
Trend
The Role of Artificial Intelligence in Autonomous Vehicles
Utilizing machine learning and neural networks, artificial intelligence (AI) plays a crucial role in enabling the autonomous operation of self-driving cars. These vehicles leverage a combination of sensors, cameras, radar, and AI to navigate between destinations without the need for human intervention. For a car to be considered fully autonomous, it should demonstrate the capability to independently navigate predetermined routes without human input, even on roads that have not been specifically modified for autonomous vehicle use.
Headline
Trend
Worldwide Bicycle and Electric Bicycle Market Overview
The global increase in environmental consciousness has resulted in a shift for bicycles from primarily sporting and recreational roles to becoming popular modes of commuting. Notably, the rising adoption of electric bicycles is driven by factors such as an aging population, contributing to a significant upsurge in the global production of electric bicycles in recent years.
Headline
Trend
Opportunities and Trends in the Application of 5G in Smart Grids
In recent years, developed nations have initiated comprehensive power grid upgrade initiatives. In line with its commitment to energy conservation and carbon reduction policies, Taiwan has advanced the implementation of Automated Metering Infrastructure (AMI) as part of its national energy-saving strategy. The plan encompasses the integration of 4G/5G and other communication industries. The noteworthy progress in the development and integration of smart grid applications with 5G communication technology represents a significant industrial advancement deserving of attention.
Headline
Trend
Confronting the Era of Digital Advancement, Facial Recognition Technology Has Enhanced
Recently, there has been widespread discussion about Artificial Intelligence, Machine Learning, Deep Learning, and Big Data. These technologies find application in various domains such as the financial industry, logistics, business analysis, unmanned vehicles, computer vision, natural language processing, and more, permeating every facet of daily life.
Headline
Trend
The Arrival of 5G Technology Marks a Shift in Business Transformation, Redefining Innovations in the Manufacturing Sector
5G is recognized as a key enabler of Industry 4.0. With its high network speed and low power consumption, 5G facilitates the connectivity of every sensor in the upcoming unmanned factory to the cloud. This connectivity allows for the extraction of data for analysis, ultimately fueling advancements in artificial intelligence.
Headline
Trend
How Can Humans Collaborate with Robots in a Work Environment?
The integration of collaborative robots into production has become a pivotal element in the manufacturing chain, enhancing overall production efficiency. These compact collaborative industrial robots are designed to operate in confined spaces, addressing challenges posed by limited working spaces.
Headline
Trend
Can 3D Printing Be Applied in the Die and Mold Industry?
As the utilization of 3D printing expands across the broader spectrum of industrial manufacturing, the significance of this technology extends beyond its role as a rapid prototyping tool. This article provides an overview of the applications of 3D printing in the fabrication of molds and dies for processes such as injection molding and die casting.
Headline
Trend
Industry 4.0 Propels the Global Industrial Market Towards Automation
In the present day, conventional industries are blending Internet of Things technology to drive the evolution of Industry 4.0 and the advancement of smart manufacturing.
Headline
Trend
The Essence of Additive Manufacturing
Additive manufacturing is playing an increasingly important role in the manufacturing industry and is mainly used in toolmaking and prototype construction.
Headline
Trend
Exploring the Concept of Advanced Manufacturing
Advanced manufacturing is the use of innovative technologies to improve products or production processes. Related technologies are called "advanced", "innovative" or "frontier". Advanced manufacturing technology is gradually maturing, integrating innovative technology into products and manufacturing processes to enhance competitiveness and increase value.
Headline
Trend
Cement Industry's Initiative to Achieve Net Zero Carbon Emissions
With technological progress and industrial restructuring, the cement industry is actively introducing a circular economy and has become an international pioneer in net-zero carbon emissions through alternative fuels, alternative raw materials, waste heat power generation, green power development, and carbon capture technologies.
Agree