Germany machinery sector faces fourth year of decline

Germany's machinery industry expects production to fall two percent in 2026 for a fourth consecutive year of decline. VDMA forecasts a return to three percent growth in 2027 as orders improve.

FILE PHOTO: People visit the 'Bauma' Trade Fair for Construction Machinery, Building Material Machines, Mining Machines, Construction Vehicles and Construction Equipment in Munich, Germany, April 8, 2019. REUTERS/Michaela Rehle/ File Photo

Germany's machinery sector will contract 2% in 2026, marking a fourth straight year of decline. The VDMA revised its outlook from prior stagnation due to persistent output losses. Output dropped 4.1% in the first seven months compared with the same period last year.

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