EUROPE METAL FABRICATION EQUIPMENT MARKET - GROWTH, TRENDS, COVID-19 IMPACT, AND FORECASTS (2023-2028)

The Europe Metal Fabrication Equipment market is expected to register a CAGR of 4.0% during the forecast period.

Key Highlights

• Throughout the forecast period, it is anticipated that factors such as the expanding metal and manufacturing industries, expanding automotive and aerospace sectors, and rising R&D expenditures would drive the European market for metal fabrication equipment. Europe's industrial metal fabrication industry is also growing because governments all over the region are putting in place policies that help the industry.
• The most important technological advancements in the metal fabrication equipment sector in Europe are Industry 4.0, including data analytics, the internet of things, additive manufacturing, and AR (augmented reality). AR can be used in training, quality assurance, design and prototyping, maintenance, operations, and safety management. For instance, by visualizing and streamlining assembly, machine tool change, and step-by-step installation processes, augmented reality (AR) can improve manufacturing operation procedures.

Due to COVID-19's operational challenges and poor demand, Europe's metal fabrication equipment sector took a considerable hit. A delayed return to pre-pandemic production levels was anticipated during the projected period. The study predicted a significant decline in domestic metal demand, which would not happen until at least 2023-2024 after the pandemic.

Europe Metal Fabrication Equipment Market Trends

Rising Technological Innovations in Metal Fabrication Industry

• As technologies offer several advantages, including increased operational efficiencies for the service providers of metal fabrication, automation, additive manufacturing, and industry 4.0 are gaining prominence among European producers of metal fabrication equipment. For example, Trumpf, one of the largest manufacturers of equipment for making metal parts, has put on the market cutting-edge laser products, such as new diode laser technology, which is thought to support the idea of "green production."
• The main aim of Industry 4.0 is automation. As new technologies hit the market, ICT technologies are being incorporated into production processes more quickly. Organizations, equipment, and other manufacturing resources are becoming more digitized, resulting in the development of "smart factories'' with continually connected machines and processes that provide high-quality outcomes.
• Industry 4.0 technology is leading to the rise of new production methods, business models, and industries in the metal fabrication equipment manufacturing sector. This makes it possible to continue to improve the production process.
• Robotics technology is now being used in the metal fabrication equipment production business, and it has advanced to the point where these machines can safely do duties alongside team members. Cobots, or collaborative robots, are perfect for laborious or hazardous activities. They might also lessen the 290,000-person labor shortfall in the sector. The COVID-19 pandemic, which forced even more people out of work and brought the situation into focus, showed that although cobots are still in their infancy in the metal manufacturing sector, they are rapidly filling a gap that needs to be supported.

Additionally, CNC machines are now a crucial component of the metal fabrication business. Automation in the CNC part of metal manufacturing can reduce some of the repetitiveness in this process, improving productivity and efficiency over time. After 2021-2021, CNC automation will continue to grow in popularity as the sector develops.

Growing Demand from the Manufacturing and Automotive Sectors

• In Europe, one of the key end-user markets for metal fabrication equipment is the automotive industry. More than 20% of all production in the automotive industry worldwide is produced in Europe. Nearly 8 million cars were produced in the European Union during the first three quarters of 2022, 5.8% higher than during the same time in 2021.
• In the coming years, the production volume of automobiles from Europe is anticipated to rise due to the growing demand from Asian nations. The need to make more cars is likely to drive the market for metal fabrication equipment in the region.
• Businesses in the automotive industry are focusing more on streamlining their processes to save money and time. They are also paying more attention to using the latest technologies in their manufacturing processes, which increases the demand for cutting-edge metal fabrication tools like a 6-axis machining center.
• The region's production of four-wheelers has significantly increased in response to rising demand from domestic and international markets, whereas manufacturing of two- and three-wheelers has grown very little. Cold pressing and hot pressing have a lot to do with how well cars are made, and there isn't much other demand for them.
• Rising automobile pricing and production levels are driving growth in the automotive metal stamping sector. Also, manufacturers of automotive metal stamping expect the market for lightweight metals like aluminum to grow in the coming years. This is because of the growing trend of downsizing powertrains to make cars lighter and get better gas mileage.
• Additional development and investment in the automobile sector The economic impact of the European automobile metal stamping sector is anticipated to be significant. Vehicle engines continue to employ a lot of alloys like cast aluminum, titanium, forged steel, and cast iron, which has helped the growth of metal fabrication equipment in Europe.

Europe Metal Fabrication Equipment Market Competitor Analysis

The competitive landscape of the European metal fabrication equipment market is observed to be somewhat consolidated, with a few of the major players currently dominating the market. However, they are up against fierce competition from regional competitors, small and medium-sized businesses, and firms that specialize in making specialized equipment in the industry under investigation.

The automotive industry and its auxiliary sectors are the biggest buyers of fabrication equipment, closely followed by manufacturing companies. Throughout the forecast period, demand and supply for key industries in the metal fabrication market, such as aerospace and defense, are anticipated to pick up. Companies were driven to relocate their manufacturing facilities to expand the European metal fabrication equipment industry due to growing demand in the region's industrial sectors and sizable marketplaces for several industry verticals.

TRUMPF GmbH + Co. KGm, Durr AG, Amada Europe, GF Machining Solutions, and DMG MORI are some of the leading players operating in the European metal fabrication equipment market.

Some other major players in the market are Schuler AG, GROB-WERKE GmbH, Bystronic Maschinen AG, Feintool International Holding AG, Mazak U.K. Limited, Okuma Europe, Reishauer AG, Starrag Group Holding AG, Gebr. Heller Maschinenfabrik GmbH, Baileigh Industrial, Meusburger Georg Gmbh, etc.

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