German Robotics and Automation Industry Experiences Decline, According to VDMA
Frankfurt, Germany (ots) - The robotics and automation industry in Germany is facing a significant downturn, with projected total revenue of minus 9 percent to €13.8 billion in 2025, according to industry executives. This represents a decrease from €15.2 billion in 2024, when the industry closed the year with a revenue drop of 6 percent.
The downward trend has become structural, as explained by Dr. Dietmar Ley, chairman of VDMA Robotics + Automation. He attributes the industry's dependence on the German automotive sector and competitive weaknesses as factors that require urgent reforms from both economics and politics.
Orders have been declining in 2024, with a 16 percent decrease from the previous year in Germany. Growth impulses from overseas proved elusive, as demand shrank by 2 percent. The only positive note was a 44 percent increase in exports to the Eurozone, a market showing robust demand for German robotics and automation products. However, demand from non-Eurozone countries fell 13 percent below the previous year's level.
Dr. Ley emphasized that German companies need to prioritize their own competitiveness, focusing on rapid innovation, greater agility, and reducing costs to remain competitive. He also called on the government to address regulatory burdens and excessive costs that could prove detrimental in international competition.
VDMA, a trade association representing over 3,600 mechanical engineering companies in Germany and Europe, runs an independent industry association, VDMA Robotics + Automation, dedicated to supporting the robotics and automation sector. Activities include statistical analysis, market surveys, standardization, public relations, research, and networking events.
When asked for comment, Dr. Ley noted that although the long-term growth trends for the industry remain intact, immediate action is needed to put the industry back on a growth trajectory.
Despite the downturn in the robotics and automation industry in Germany, with projected revenue decreases in the coming years, Dr. Dietmar Ley, chairman of VDMA Robotics + Automation, emphasizes the need for German companies to prioritize their competitiveness through innovation, agility, and cost reduction. He also urges the government to address regulatory burdens and excessive costs to support industry growth and international competitiveness.
In light of these challenges, VDMA Robotics + Automation, an association dedicated to the robotics and automation sector, is working to support the industry through statistical analysis, market surveys, standardization, public relations, research, and networking events, in an effort to put the industry back on a growth trajectory.
