The VDMA reports a 10% increase in turnover makes 2009 the best year in history ever for Germany’s mining equipment manufacturers. While much of the engineering sector has been strongly affected by the economic and financial crises, the current year has been a bonanza for German mining equipment companies. The sector expects the increase of turnover to bring sales to approximately €4 billion.
The reasons for this increase are the high level of orders of last year and the successful opening of new markets especially in Central and South America, according to Dr. Paul Rheinländer, Chairman of the VDMA Mining Equipment Association. “Our intensive market development, especially by several local visits, was highly successful.” In this way, the companies succeeded in compensating for decreases of turnover in traditional sales markets. Many of them even grew during the crisis. For instance, in Central America, mining equipment manufacturers expect the year-end figures to show an increase of 110% in turnover to €55 million, and in South America by 100% to €52 million.
Despite this success “there is no reason to be euphoric”, Dr. Rheinländer warns. He refers to incoming orders that declined by 50% this year. However, the mining sector does not expect that this slump will reflect in the turnover. It is more likely the case that at least part of the orders cancelled in the recent past due to the economic crisis will be re-instated within the next year. The companies therefore hope to maintain their turnovers in 2010.