According to the VDMA, incoming orders in the mechanical engineering sector in Germany rose by 7% in real terms in December 2017 compared to the previous year. Foreign orders recorded an increase of 5%. The impetus came solely from non-euro countries (up 10%), according to the association. Orders from euro partner countries were 8% below the previous year's level, which was, however, unusually high. "It is particularly pleasing that demand from Germany once again recorded double-digit growth of 11%," says VDMA Chief Economist Dr. Ralph Wiechers.

In 2017 as a whole, the mechanical engineering sector successfully closed its order books with an increase of 8%. However, the gap between domestic and foreign demand is still wide. While orders from abroad increased by 10%, domestic orders "only" grew by 5%. "The future German government is called upon to ensure that Germany's future is not ruined by a lack of investment with the help of growth-friendly policies," emphasizes Wiechers.

According to preliminary calculations by the German Federal Statistical Office, production in the mechanical engineering sector rose by 3.1% last year after adjusting for prices, reaching a volume of around 212 billion euros. This means that the VDMA economists' forecast of 3% growth was fulfilled. Annual sales in the mechanical and plant engineering sector are estimated to have increased to EUR 224 billion. The VDMA therefore clearly sees 2017 as the first year of an upswing. However, hardly any growth impetus came from the domestic market. Here, the expectations of VDMA economists were disappointed - the picture should look better in 2018. Production growth in 2017 was clearly due to increases in the export markets. Growth was recorded in almost all markets. The biggest contributions to growth came from the USA (up 12%) and China (up 24%). However, the upturn has by no means reached the mechanical engineering sector across the board: according to the association, 13% of mechanical engineering companies could produce more if they had more orders.