14 May, 2025
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Despite the enormous difficulties and ups and downs of the year, production grew by 7.7% and exports by 8.5%.
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However, orders fell by 23%, with a more pronounced decline in the forming segment, which, despite maintaining an attractive portfolio, is suffering from the uncertainty surrounding its main customer.
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The first quarter of the year has started better than expected for the cutting sector, but not for the forming sector, even though the situation remains highly complex and the challenges are considerable for both sub-sectors.
San Sebastián, 14 May 2025 – The closing figures for the advanced manufacturing technologies and machine tool sector showed better results than those anticipated in the provisional figures: turnover grew by 7.7% to €2,323.5 million, and exports increased by 8.5% to €1,749.5 million. In both cases, these are the highest figures achieved to date. Nevertheless, the huge uncertainty, the situation in certain sectors and the multiple conflicts of all kinds have already led to a significant drop in inflows.
In the analysis by subsector, growth in turnover was observed in forming (which, on the other hand, suffered a sharper fall-off in orders) after several years of low activity, while cutting grew slightly, with orders that, although erratic, were more robust. Both tools (+2.9%), and components (+3.8%) closed the year with positive figures.
As we mentioned in the provisional figures, the main destinations for our exports were Mexico, the United States, China, Germany, and Italy. These were followed by France, Portugal, Türkiye, India and the United Kingdom. It is worth highlighting the case of Mexico, which, thanks to a series of large-scale installations, leads our foreign sales for the first time, doubling the figure recorded in 2023. The United States also posted remarkable results, with growth of 8% compared to the previous year. As for China, it showed a 25% increase compared to 2023, although the significant fall-off in orders in the market makes this figure a mirage. Germany, in fourth place, maintained virtually the same level of exports (+1%), while Italy, in fifth place, recorded the largest contraction, with a fall of more than 50% compared to 2023. We should remember, however, that the latter had just come through a period of intense activity thanks to its government's incentive schemes for investment in production.
"The turnover figures we show at the end of 2024 are good, but over the course of the year orders already passed the tipping point, which points to a slower 2025. We are facing truly turbulent times on the international stage: Europe is now at a weak juncture in some of its flagship industries, particularly in the automotive sector, and Germany, traditionally its industrial powerhouse, appears to be losing its way. China, on the other hand, has established itself as an economic, industrial and technological superpower, an essential supplier and a formidable competitor in virtually every sector. Meanwhile, the United States, a key destination and refuge for our manufacturers in recent years, has now taken a defiant stance that threatens our interests in the market. As a new player on this global stage, India is beginning to emerge strongly, determined to compete for its place in the struggle for world leadership. Although it is a relatively small market, it has much to offer. Let us hope that the escalation of the conflict in Kashmir can be brought back in the right direction. Nonetheless, the sector has dealt with great difficulties in the past, and we will do so again this time with our usual formula: committed talent, innovation, cutting-edge technology, and the ability to position ourselves in the most demanding sectors," José Pérez Berdud, president of AFM Cluster, affirms.
2024 ORDERS AND 2025 FORECAST
As mentioned, during 2024 orders fell by 23.1% compared to those recorded in 2023, after two consecutive years of strong increases. The contraction was particularly pronounced in the domestic market, falling by 45%, while in international markets there was a 20% drop. When broken down by subsector, cutting showed greater resilience, with a decline of 8.8%, compared to the forming sector, which suffered a significant fall-off of 40.8% due to the investment deadlock in the automotive sector. Both subsectors still have an attractive portfolio that is protecting the year’s first months of production in many cases.
As for buyer countries, the United States tops the list, followed by Saudi Arabia, whose position is owed to a large one-off transaction. A remaining eight destinations, these being Germany, Mexico and Italy, China, Turkey, Canada, France and the United Kingdom, complete the group of the top ten sources of orders.
In the words of Xabier Ortueta, CEO of AFM Cluster: “2024 proved to be very challenging in terms of order inflow, with a contraction in orders that was more pronounced in forming. The first four months of 2025 are difficult to interpret: they have shown a positive trend for the cutting sector, which we’ll have to see if we can sustain in the challenging scenario we’re facing, while the downward trend continues in the forming sector. Given the portfolio built up after several particularly intense years in terms of new business and despite the decline in 2024, it remains to be seen whether we will be able to contain part of the anticipated drop in revenues. In any case, there are far more factors that generate uncertainty and concern than there are indicators pointing to a stabilization in the industrial landscape."
EUROPE'S RESPONSE MUST INVOLVE REVIVING STRATEGIC SECTORS
"More Europe and a stronger Europe is what will enable us to emerge successfully from this awkward predicament. We need the European Union to take control of the continent and lead a reinforcement process for today's and tomorrow’s industry, determining which sectors, technologies, products, and services are essential and planning how to strengthen, recover, or develop them. We must also be fiercely competitive, while staying true to our values. To do this, European industry needs a new regulatory framework that allows it to compete on equal terms. Europe is the place in the world where social cohesion, economic progress and political freedom coexist most successfully. We must urgently get to work to defend what we have achieved.”
Thus spoke the president of AFM Cluster, advocating for strengthening Europe and restoring its economic and industrial leadership. In this regard, and in what affects it most directly, the sector is advocating for the drafting of plans to revive industrial demand, commonly referred to as the Plan Renove (Redevelopment Plan).This is a measure that, on the one hand, drives investment so that industrial SMEs in different sectors can re-equip themselves on favourable terms, and on the other, stimulates the demand for machine tools. The end result is a two-fold structural benefit in the long term, promoting a more modern and productive industrial fabric.
+INDUSTRY
From 3 to 5 June, the BEC will host the main industrial gathering of the year. This is the biggest event in existence devoted to Smart Manufacturing, which will host six specialist fairs simultaneously: Addit3D (additive manufacturing and 3D printing), BeDIGITAL (digital technologies applied to industry), Subcontratación (manufacturing processes, industrial equipment and supplies), Maintenance (industrial maintenance), Pump&Valves (pumps, valves and equipment for industrial processes) and, new to this edition, WeAR (automation and robotics for all industrial sectors). In addition to these, there is also WORKinn Talent Hub, a one-stop space devoted to the attracting and development of talent in the industrial sector.
+INDUSTRY hosts an extensive programme of conferences, round tables and presentations aimed at sharing knowledge, promoting networking and analysing the major challenges in the industrial ecosystem. The content will cover everything from advances in 4.0 technologies, additive manufacturing and automation to key issues such as sustainability, energy efficiency, attracting talent and industrial resilience.
EMO 2025
From 22 to 26 September, Hanover (Germany) will host EMO, the world's leading trade fair for machine tools and advanced manufacturing technologies. The last edition of this internationally renowned event, held in 2023, attracted more than 92,000 visitors from 140 countries. Under the slogan ‘Innovate Manufacturing’, the event offers a comprehensive overview of the latest trends and innovations in industrial production. As has been the case since the event began, the 44 Spanish companies exhibiting at the show will have a prominent presence with nearly 5,000 m2 of exhibition space.
UPCOMING EVENTS
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16 MAY 2025: AFM CLUSTER GENERAL ASSEMBLY, Donostia-San Sebastian
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3-5 JUNE 2025: +INDUSTRY, Bilbao
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14-17 JUNE 2025: CECIMO GENERAL ASSEMBLY, Donostia-San Sebastian
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22-26 SEPTEMBER 2025: EMO Trade Fair, Hanover, Germany
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29-31 OCTOBER 2025: 24TH ADVANCED MANUFACTURING AND MACHINE-TOOL CONFERENCE, - San Sebastian
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