Stable demand from the industrialized countries
30.08.2017 The USA remained one of the core markets for German large-scale industrial plant manufacturers. In addition to power stations and chemical plants, demand in the USA included plants for wood processing.
Difficult Environment in the Near and Middle East
Demand for large-scale industrial plants in the Near and Middle East fell by 25%. The most important customer country in 2016, measured by new orders, was Saudi Arabia.
Trends in raw material prices are a central economic indicator in large industrial plant manufacturing. Rising quotations provide stimuli for investment in exploration projects and boost the budgets of the customers, who can use these funds to invest in plants for refining the raw materials.
Business is currently booming in Egypt. The country is planning to practically double its power generation capacities by 2018, and it is turning to German technology to achieve this.
The weakness in the Chinese market is persisting. Against that, in 2016 large-scale plant manufacturing succeeded in acquiring a few projects of over EUR 100 million, unlike in 2015. However, the level is too low to suggest a change in the general trend.