Expected development of the markets of relevance for technotrans

The further business development of the technotrans Group in 2018, too, will to a large degree depend on the world economy and on various project launches involving existing and new customers. At present the expectations of customers with regard to future business development are predominantly positive. For example, the individual industry federations for the submarkets that are of relevance for the technotrans Group expect a steady to positive overall development in their business areas.

Because of technical or statutory requirements, the individual areas that make up the mechanical and plant engineering sector have their own cycles. Their production patterns therefore differ to some extent from the norm for the mechanical engineering sector. For example, the machine tool engineering sector and the plastics processing industry are highly dependent on the automotive industry, among other areas, while the printing industry depends on worldwide demand for the offset printing market as well as on digital and packaging printing. Meanwhile the laser industry features in a large number of production technologies (including, for example, medical technology and the semiconductor industry). The outlook for the individual sectors is consistently positive for 2018.

The industry closed 2017 with another rise in incoming orders and revenue. The digital and flexographic printing market segments in particular again offer further growth potential for technotrans in 2018. Due to ongoing consolidation among printing houses in some industrial countries, the market volume for sheet-fed and web offset printing press business is expected to show only moderate overall expansion in the future. Business sentiment in the printing and media sector was again positive at the start of 2018. This development was shaped both by the positive assessment of the current business situation and by optimistic expectations regarding the future situation.

The plastics industry in Germany continues to be in a healthy economic situation. The industry has been experiencing a sustained upward trend for more than three years. In 2017, the industry exceeded the average growth expectations of 3.0 percent per year. The rise in revenue in the sector was 5 percent, and orders received were up 17 percent year on year. The drivers were generally high demand for consumer goods and the steady tapping of new areas of activity in the plastics industry. For 2018, the industry expects sustained positive business progress.

After a slightly weaker development in the previous year, the world market for laser systems for materials processing developed much more healthily once more in 2017. Its drivers were the high demand in the mechanical engineering sector and the expanded range of potential applications for laser technology. We expect business development to remain positive in 2018.

In 2017, the machine tool sectors (cutting and forming) enjoyed marked rises in revenue and incoming orders. The full order books of manufacturers of turning, milling, grinding and other special machinery lead us to expect a further rise in revenue for 2018. Output is expected to climb by a further 3 percent on average.

The market for electrical energy storage solutions has been in a steep formation and growth phase for years. As a result of the ever growing importance of electric mobility and the ongoing evolution of technological solutions, we anticipate sustained dynamic growth for 2018.

Medical technology likewise enjoys an economically stable starting position. In this case we anticipate moderate growth for 2018.