VDMATrend reversal in machinery exports to Russia
Last year brought a turnaround in business with Russia for German mechanical engineering companies. For the first time in four years, machinery exports were back in the black in 2017. However, the VDMA is only cautiously optimistic about future developments.
Overall, the Russian economy grew less strongly than expected in 2017, by 1.5% according to preliminary figures. Forecasts for the next two years are cautious. The VDMA assumes that growth of more than 2% will not be achieved in the next two years. The reason: a lack of structural reforms and the growing state share of the economy are slowing momentum. Experts agree that little will change without far-reaching reforms. Based on these forecasts, German machinery exports to Russia will probably continue to grow at a moderate pace.