The eurozone in particular - an important export market for German industrial valves according to the VDMA Valves Association - has returned to growth after years of crisis: sales increased by 7% in 2017. According to the association, the significant increase in orders from non-European countries was particularly pleasing: German industrial valve manufacturers recorded growth of 16%. Domestic sales rose by 2 %.

In the individual product groups statistically recorded by the VDMA, sales developed positively across the board in 2017: manufacturers of control valves recorded a nominal increase in sales of 8%. Sales of safety and monitoring valves rose by 5%, while sales of shut-off valves grew moderately by 2%.

Overall, capacity utilization in the industrial valves sector is at a high level of 93%. According to the Ifo Business Climate Index, industrial valve manufacturers surveyed assess the business climate as positive across the board. However, expectations for the next six months are somewhat subdued. The difficult negotiations to form a new German government have led to uncertainty, as has the uncertain outcome of the Brexit negotiations.

China again the largest export customer

The ten most important customer countries for industrial valves from German manufacturers

© VDMA

In the period from January to November 2017, German industrial valve manufacturers achieved an export volume of EUR 3.6 billion. This is an increase of 7.6% compared to the same period last year. The industry's international business benefited from robust demand from China, the economic recovery in the USA and strong demand from Europe.

China was once again the largest buyer of German industrial valves in 2017 - ahead of the USA and France. Industry exports to China rose by 13.5% year-on-year to EUR 407 million between January and November 2017. Exports to the USA increased by 15% to EUR 327 million in the same period. At EUR 196 million, France demanded 5.8% more industrial fittings from Germany in 2017 than in the previous year.

Russia on an upward trend

The Russian economy is back on course for growth. The fittings trade association is forecasting an increase of 1.6% for 2018. According to the association, economic development in Russia continues to be dampened by the effects of sanctions imposed by Western industrialized countries. German industrial valve manufacturers suffered significant losses in this important market in 2016. In the period from January to November 2017, German exports of industrial valves rose to EUR 114 million.

Forecast for 2018

The global economy is currently experiencing a strong upturn and there seems to be no end in sight to the boom. The industrial valves sector is expecting impetus from the chemical, pharmaceutical and food sectors in particular. A decline in demand is expected in the energy sector. All signs point to growth: the Valves Association expects nominal sales growth of 4% for 2018.