VDMA reports positive news for German construction

By Mike Hayes05 March 2021

Trade association reports 17% fall in equipment production in 2020 was less than was feared

VDMA logo

Sales of construction machinery from Germany fell by 17% in 2020, compared with the previous year, according to the country’s equipment and engineering association, VDMA.

The association said sales totalled €10.5 billion, comparable to the volume of sales made in 2017, and considerably better than had been feared.

Franz-Josef Paus, the organisation’s chairman, said, “We actually got off lightly. If someone had predicted at the beginning of the pandemic that the decline in turnover would only be moderate, we would not have believed it.”

The figures were produced for VDMA’s annual general meeting, where it was reported that sales of compact construction equipment in Germany were only minimally affected by the pandemic, seeing a decline of just 3%. This compares with an 18% fall in the sale of large machinery.

The association pointed out that increased demand was seen for equipment, both in the fourth quarter of 2020 and the first quarter of 2021.

While VDMA reported that business confidence is at its highest level since the end of 2018, with Germany’s economic stimulus packages having a positive effect, it pointed out that challenges ahead include higher raw materials costs and fluctuations in work processes.

Joachim Strobel, deputy chairman of the VDMA, said, “In some cases, we had to go directly from short-time work to overtime and, in some cases, back to short-time work because deliveries suddenly stopped. In future, we will have to be even more flexible in this respect.”

MAGAZINE
NEWSLETTER
Delivered directly to your inbox, Construction Europe Newsletter features the pick of the breaking news stories, product launches, show reports and more from KHL's world-class editorial team.
More News from Construction Europe
Trackunit expands Kin functionality
New capability collects movement data from tagged assets in real time
GCCA reveals 7 ways to reach concrete ‘Net Zero’
The world’s leading cement and concrete manufacturers have made a global commit to cut CO2 emissions by a further 25% by 2030
Onshore construction completed for Triton Knoll
UK’s longest ever offshore wind cabling project concludes after three years
CONNECT WITH THE TEAM
Mike Hayes Editor, Construction Europe Tel: +44 (0)1892 786 231 E-mail: mike.hayes@khl.com
Simon Kelly Sales Manager Tel: +44 (0) 1892 786 223 E-mail: simon.kelly@khl.com
CONNECT WITH SOCIAL MEDIA