Category Archives: Economy

CECIMO commits to contribute to a new european industrial strategy

Mr Luigi Galdabini, President of CECIMO and Managing Director of Galdabini SPA, was one of the renowned panellist at the first European Industry Day that took place on 28 February 2017. He supported SMEs’ view and reported the challenges that the industry faces accessing new technologies. This intervention was in line with the “Joint Declaration for an ambitious EU industrial strategy” signed by 125 European manufacturing associations, which calls the European Institutions to define and implement an ambitious European industrial strategy.

CECIMO voices the needs of manufacturing SMEs in the First European Industry Day
CECIMO welcomes the first European Industry Day that was organized by the European Commission and saw the participation of high-level policy makers, including Commission Vice-President Jyrki Katainen, and Commissioners Elżbieta Bieńkowska and Carlos Moedas. The event brought together hundreds of stakeholders from across Europe to discuss issues of high importance for the European industrialists.

The European machine tool industry was represented by Mr Luigi Galdabini, President of CECIMO and Managing Director of Galdabini SPA in the European Industry Day. As debater in the high-level panel on SME access to technologies, Mr Galdabini highlighted that cross-border collaboration between machine tool builders and technology centres is essential, but severe bottlenecks, hampering the competitiveness of industry, exist. “If European machine tool builders want to keep up with market trends, they need to be increasingly agile, develop new solutions that match the changing needs of machine tool users, and focus on incremental innovation, offering continuously improved goods and services to customers. Consequently, technology centres spread across Europe can join forces with manufacturing SMEs and help them in responding to these evolving demands. At strategic level, MT builders need more policy instruments that foster the link between research and business, and they also call for incentives, which underpin cross-border collaboration in Europe and support the internationalisation of manufacturing SMEs” added Mr Galdabini.

Joint Declaration for an ambitious EU industrial strategy
CECIMO and other 124 European manufacturing associations launched a week ago a Joint-Declaration that calls the European Commission, the European Parliament and the Competitiveness Council to define and implement an ambitious and coordinated European industrial strategy. “CECIMO finds very positive that the European Commission organises the first European Industry Day. Nevertheless, to safeguard the world leadership of European manufacturers and jobs in Europe, the Commission needs to follow up what stakeholders have been voicing and to come up with a comprehensive action plan focusing on the strengths of our businesses” stated Mr Filip Geerts, CECIMO Director General.

The Joint-Declaration for an ambitious EU industrial strategy highlights that, while competitors from across the world puts industry at the very top of their political agendas, develop and implement well-thought strategies, the EU falls behind its industrial policy targets. “There has been no better time to reaffirm Europe’s commitment to manufacturing, innovation and jobs. European associations representing 125 manufacturing sectors are ready to offer their cooperation to the European Institutions” points out Mr Geerts.

CECIMO is the European Association of the Machine Tool Industries. We bring together 15 national associations of machine tool builders, which represent approximately 1500 industrial enterprises in Europe (EU + EFTA + Turkey), over 80% of which are SMEs. CECIMO covers 98% of the total machine tool production in Europe and about 39% worldwide. It accounts for more than 150,000 employees and a turnover of nearly €24 billion in 2015. More than three quarters of CECIMO production is shipped abroad, whereas half of it is exported outside Europe.

Bilbao Exhibition Centre generated an economic impact of 92 millions euros in 2016

The activity developed by Bilbao Exhibition Centre in 2016 generated an economic impact in terms of Gross Domestic Product (GDP) of 91,976,392 Euros. This impact implied a collection of taxes of 11,338,741 Euros for the Basque Tax Office, and the generation of 1,937 jobs. Since its inauguration in 2004, BEC has had an accumulated impact on the GDP of 1,024 million Euros.

During the past year, the BEC held a total of 188 events of different types (trade shows, congresses/conventions, concerts, shows, etc.), which amounted to an occupancy rate of 283 days. In regards to the participation in all the events held in 2016, the Bilbao Exhibition Centre welcomed a total of 901,437 visitors.

The different activities developed within the Bilbao Exhibition Centre were distributed as follows:
•    27 Trade shows,  that hosted a total of 2,825 exhibitors.
•    145 Events at BEC Conventions.
•    18 Events at the Bizkaia Arena.

In terms of the source of the economic impact, about 80% comes from the trade show activities and the remaining 20% comes from BEC Conventions and Bizkaia Arena. Likewise, 63% of this impact is generated by the exhibitors and organisers, while the remaining 37% is from the visitors.

A completed  strategic plan
It is also important to highlight that the 2013/2016 Competitiveness and Sustainability Plan ended this year. This plan advocated for the appreciation of available spaces and an overall reduction of costs, in addition to the development of a solid offer of shows and the attraction of new events from third parties, among other issues. All of these goals have been achieved, including the attainment of a positive result for 2016. Right now, the Bilbao Exhibition Centre is drafting the new 2017/2020 Strategic Plan that will lead the way during the next years; a plan that focuses on growth in activity and organisational improvement.

BIEMH’2016, the star
In 2016, the Bilbao Exhibition Centre was the scenario for a large range of activities from very different sectors. Due to its relevance in the BEC’s results, it is essential to highlight the success of the 29th edition of the International Machine Tool Exhibition. Its progressive recovery following the financial crisis, in terms of the volume of the exhibition, with over 1,533 exhibitors from 30 different countries, and the attendance of 40,000 visitors, which implied an increase of 13% over last year’s figures, was one of the greatest achievements of the year. But it wasn’t the only one. The BEC was also sensitive to the situation of the younger generation that are at the gates of their first job and, during the celebration of the BIEMH, they held WORKinn, Employment and Training Forum focusing on the youth, to bring the employment market and offers of the machine tool industry closer to the students. The industrial context provided by the BIEMH exhibition was also used to create new events such as ADDIT3D, the first additive manufacturing and 3D trade show in Spain that is exclusively for professionals, as well as the Oil&Gas Conference and the Maintenance International Conference, which had relevant international speakers and leading exhibitors from the represented sectors.

Startup World Cup: The unique pitching competition coming soon to Luxembourg!

8 March 2017 is undoubtedly a red-letter day in the agendas of the Great Region and Luxembourg’s startups. It will be the D-day of the Startup World Cup, the first event of its kind ever held in Europe. But most importantly, this exceptional event organized by the famous event creator Farvest, will take place in Luxembourg. This is no coincidence due to the efforts made by the Government of Luxembourg to maintain its reputation as a startup nation and its rapidly developing ecosystem.

Startup World Cup is a global series of conferences and competitions with the goal of bridging startup ecosystems worldwide, and it encourages the most talented entrepreneurs to battle for the prestige of winning the Startup World Cup. 16 regional events are scheduled all over the world, leading up to the Grand Finale in Silicon Valley. Startup World Cup is organized by Fenox Venture Capital, an early stage, Silicon Valley based VC firm. The March event in Luxembourg represents the European debut of the competition.

A Partner of choice
Because of its strong local anchorage and well-known international experience in supporting startups from all around the world, from creation to transformation into multinational companies, EY Luxembourg was chosen to be the main partner of this event, which will take place in the EY premises.

“At EY Luxembourg, entrepreneurship is part of our DNA. We are therefore very pleased to collaborate with Farvest and to host this world-class event which perfectly fits with our “Building a Better Working World” mission. As part of it, our EYnovation program aims at providing full support to startups around the world and brings us to the center of the Luxembourg startup nation, while providing opportunities to our professionals to innovate and develop an entrepreneurship spirit”, said Olivier Lemaire, Technology, Media and Telecom Leader and EYnovation Leader at EY Luxembourg.

An international aura… in Luxembourg
The event will include pitches from the top startups across Europe, and a few guest keynote speakers, including Olivier Lemaire of EY Luxembourg.

“We are thrilled to host Startup World Cup in Luxembourg,” said Kamel Amroune, partner of Farvest Group & co-founder of ICT Spring. “The soul of this Startup World Cup is innovation and the spirit of competition that often goes hand in hand with it. We could not be more excited to introduce this event to our community, regionally as well as across all of Europe. We expect this event to  be a resounding success and we will use all the know-how the firm has acquired through the organization of ICT Spring, a two-day yearly Global Tech Conference held in Luxembourg, to help  create, host and support this new regional event.”

“We are very excited to partner with Farvest Group,” said Anis Uzzaman, CEO and General Partner of Fenox Venture Capital and Chairman of Startup World Cup. “Our joint forces will be able to deliver one of the best startup events in the region and cater to the entrepreneurs.”

And the worldwide winner is…
The Grand Finale will take place in San Francisco on March 24th, 2017. The winner of the pitching competition will represent Europe and compete alongside 15 other startups from all over the world for a chance to win a U.S. $1,000,000 prize in investment.

The European machine tool sector books strong results in 2015

The CECIMO General Assembly that took place in Brussels on 3 December 2015 confirmed:

• The European machine tool production will record 23.3 billion euros in 2015, increasing by 2% from the year before;
• The machine tool consumption in Europe will be growing 4% this year to 14.2 billion euros;
• The conceptual framework of the Ecodesign Directive is unsuitable, not feasible and not desirable for complex industrial goods.
• CECIMO will be the voice of additive manufacturing in Europe.

Economic situation and outlook
The European machine tool industry, exporting over 40% of its production outside the EU, depends heavily on the global economic outlook. Therefore, the global growth’s downgrades, especially in emerging markets, had a restricting effect on the machine tool output’s forecast. On the other hand, strong business sentiment in Europe supports investment and makes up for the external markets’ contraction. Consequently, the European machine tool production is estimated to grow 2% to 23.6 billion euro in 2015, and the strong domestic demand supports growth expectations for 2016 as well. After a 10%-growth in 2014, the European machine tool consumption is forecasted to continue expanding this year but at lower levels. The consumption is expected to increase of 4% to 14.2 billion euro in 2015. The order intake supports the steady growth in machine tool demand, even though the economic dynamics in the third quarter have slowed down. In the second quarter of 2015, the CECIMO domestic orders’ index increased by 6% in comparison with the same quarter last year. We forecast the European machine tool consumption to record growth of over 3.5% annually for the next four years. The domestic consumption drives CECIMO imports. The weak euro makes importing machines more expensive, but we still expect imports to grow this year thanks to the European industry’s demand. CECIMO estimates the machine tool imports to increase by 4% to 9.2 billion euros in 2015. The declining growth rates in China as well as the recession in key emerging countries burden the global economy and, as such, the global economic development will remain volatile. Nevertheless, CECIMO expects the exports to expand by 3% to 18.7 billion euro in 2015. “CECIMO exports to almost 200 different countries. In the key machine tool consuming markets, we are a leading supplier of manufacturing solutions which proves that our machines are not only the most competitive but also very often irreplaceable. Nonetheless, we need a level playing field and an effective EU trade policy,” explained Dr Frank Brinken, the Chairman of CECIMO Economic Committee and Vice-Chairman of Starrag Holding AG.

Policy priorities
The European machine tool industry’s worldwide hallmark is efficient production, i.e. achieving the highest productivity with a minimum use of energy and other resources. Enhancing production efficiency on a continuous basis has become an everyday core commitment for both our industry and our customers. For this reason, the machine tool industry has been supporting all efforts to translate the Ecodesign Directive’s (2009/125/EC) objectives into results. Nevertheless, the Ecodesign Directive has so far focused on serial products and consumer goods. In practice, this raises many questions and reveals many contradictions that could potentially create problems for us as many of our products are unique, custom-made and built to respond to our customers’ specific demands.

All this considered, the European machine tool industry still proposed a self-regulation measure as permitted by the Ecodesign Directive. However, we have serious concerns about the implementation of such a measure in our sector, being heterogeneous and heavily faceted, and exporting such a big portion of its production. “The difficulties include achieving the expected market coverage, which would require the inclusion of non-European machine tool builders and importers. Because there are no sanctions foreseen for not joining the self-regulation measure and a lack of market surveillance, this condition is a significant obstacle to the creation of a successful initiative,” highlighted Mr Jean Camille Uring, the President of CECIMO and Executive Board Member of Fives Group. He concluded: “Complex industrial products in a complex sector need an adapted approach.”

CECIMO ensures the development of additive manufacturing (AM) to industrial scale and its seamless integration into the production environment. To that aim, CECIMO established a specific section dedicated to AM to promote and support the creation of favourable framework conditions. It will be active on a number of fronts: technology, markets, regulatory and advocacy. CECIMO will establish a dialogue between industry and the EU decision-makers to explain the regulatory and policy-related challenges facing AM’s development AM. AM is a multidisciplinary area requiring cross-sectorial and cross-disciplinary cooperation. Therefore, the CECIMO AM section remains a platform open to all relevant and interested stakeholders. “European policy-makers must build a European strategy for AM that goes further than research funding to accelerate its market uptake, including standardization, finance, awareness raising, skills, IPR, liability as well qualification and certification procedures,” explained Filip Geerts, the Director General of CECIMO.

The American and European machine tool associations publish a joint statement on the Transatlantic Trade and Investment Partnership

AMT and CECIMO represent together over 2000 companies from both sides of the Atlantic. The organisations advocate for better market opportunities and support free trade. AMT and CECIMO welcome the commitment expressed by the European Union and the United States to reach to comprehensive Transatlantic Trade and Investment Partnership (TTIP). The highly innovative machine tool sector stresses the need to tackle wider area than only abolishing of tariffs to provide concrete and measurable reductions to trade barriers.

Divergences between the EU and the US regulations create different technical requirements, specifications, standards, conformity assessment procedures and licensing procedures. The lack of regulatory convergence forces companies to invest time and resources in duplicative procedures in order to demonstrate compliance. More compatible standards could lead to considerable savings and increased production efficiency in the manufacturing sector. AMT and CECIMO stand for efforts to standardise the testing procedures and authorisation processes.
The difference between the EU and the US regulations often lies in the use of different legal tools for the same public policy choices. TTIP should enhance cooperation between the EU and the US to ensure that existing and new regulations are complementary and minimise the burden on companies. Tackling regulatory divergences between two countries will benefit businesses of all sizes and increase transatlantic trade flows. Trading countries should aim for the mutual recognition of technical requirements for machine tools in line with the international consensus-based standards.
TTIP is an opportunity to address the challenges of the internationalisation of the SMEs. In the EU, companies with fewer than 250 employees represent 90% of businesses and 66% of the workforce. In the US, companies with fewer than 500 employees represent 99% of businesses and about half of the total employment. We support measures that improve the SME’s access to the information and markets.
TTIP should enhance transparency in the rulemaking, private sector engagement, and increase opportunities to provide timely inputs. AMT and CECIMO stress the importance of transparent and predictable regulatory environment for the machine tool industry. We call for transparency by regulators and competent authorities in providing information on planned regulatory acts and roadmaps
About AMT
AMT – The Association For Manufacturing Technology, located in the USA, represents and promotes the U.S.-based manufacturing technology industry whose members design, build, sell and service the continuously evolving technology that lies at the heart of
CECIMO is the European Association of the Machine Tool Industries, bringing together 15 national associations of machine tool builders. CECIMO covers 98% of total Machine Tool production in Europe and about 39%

German machine tool industry puts in a notable finishing sprint for 2014

In the fourth quarter of 2014, order bookings in the German machine tool industry were up by an impressive 15 per cent compared to the final quarter of 2013, a steeper rise than expected. Orders from abroad rose by 24 per cent, while for the domestic market the figure was 1 per cent down on the preceding year’s equivalent result. For 2014 as a whole, there is a total plus of 4 per cent, with domestic orders up by 6 per cent, and orders from abroad by 4 per cent.

German machine tool industry puts in a notable finishing sprint for 2014
German machine tool industry puts in a notable finishing sprint for 2014

“So for the German machine tool industry, 2014 ended with a notable finishing sprint,” is how Dr. Wilfried Schäfer, Executive Director of the sectoral organisation VDW (German Machine Tool Builders’ Association) comments the result. The cause involved, following a mixed second half to the year, was a substantial plus in order bookings of 36 per cent in December. This very significant increase was attributable primarily to export business, which grew by 56 per cent. Domestic orders, meanwhile, with a modest increase of 3 per cent, stayed more or less static, compared with a strong reference month in the preceding year.

The increase in December was based not only on a few major projects, but additionally boosted by very sizeable projects from outside the Eurozone.In the year’s fourth quarter, the manufacturers of metal-cutting machine tools reported consistently good business, with a plus of 9 per cent, resulting primarily from export orders. Over the year as a whole, the orders for metal-cutting technology rose by 4 per cent, while forming technology orders, too, were up significantly in the year’s fourth quarter, by 33 per cent. In 2014 as a whole, order bookings for forming technology were up by 5 per cent.

Germany’s industrial sector is at present benefiting from falling energy prices, caused by the plummeting price of oil. The weak euro, moreover, is improving the price-competitiveness of capital goods abroad. For 2015, the German machine tool industry is anticipating a recovery in demand, from the domestic and export markets alike. “This means that the sector is well-positioned for 2015,” said the VDW’s Executive Director Schäfer.

German machine tool industry still sees chances for growth

In the first half of 2014, the German machine tool industry maintained its production output at the previous year’s high level of around 6.5 bn euros.

vdw5“Thanks to healthy domestic demand, the sector has put up a valiant performance”, reports Dr. Wilfried Schäfer, Executive Director of the VDW (German Machine Tool Builders’ Association), speaking at the AMB in Stuttgart on 16 September 2014. At the same time, he admits that the association’s forecast for production output, with a plus of 3 per cent, is appearing increasingly over-optimistic.

Chances for growth are looking quite good
Nonetheless, the VDW definitely sees grounds for optimism. Up to July, order bookings had risen by 7 per cent. Important momentum is coming from abroad. “For the year’s second half, we are expecting a reversal of roles between domestic and foreign demand”, says Schäfer. Domestic orders were in fact still rising overall in the year’s first half, by 18 per cent, while export orders were lightly down at minus 1 per cent. In the months of May to July, however, they were already down by 5 per cent, and in July they fell by 24 per cent, the first double-figure drop in a single month for eight months.

For export orders, the picture is reversed: they have been rising since May, from May to July they were 23 per cent up on the preceding year’s equivalent figure, and most recently, in July of this year, by an impressive 42 per cent. The growth consists partly of large-sized orders, but not exclusively. Rather, it is broadly based, and is also showing up in the figures for metal-cutting technology.

America and Eastern Europe are the determinant factors in demand from abroad
According to a survey commissioned by the VDW, it’s primarily orders from America and parts of Europe that are responsible for the upturn. The intensive re-industrialisation efforts in the USA and high capital investment by the automotive industry in the NAFTA nations of Mexico and Canada, and in Eastern Europe, have here ensured higher order volumes for “Made in Germany” production technology.

brought to you by