“Made in Germany”: still at a standstill…

The meeting, held in Heidelberg at the end of June, provided some valuable indications as to what the future may hold. According to VDMA analysts, no reversal of the trend is expected in 2026, and the woodworking technology market will continue to go through a “wait-and-see” phase. For the third consecutive year, therefore, the German industry is expected to record a decline in production, estimated at around 7 per cent, following the single-digit decreases already registered in both 2025 and 2024.

There are therefore no signs of a substantial and lasting turnaround, despite the fact that incoming orders increased by 7 per cent in the first four months of 2026. This figure, which includes a number of “large-scale orders”, is nevertheless not sufficient to drive a recovery in production during the current year.

More generally, the primary wood processing machinery segment, which includes technologies for sawmills and wood-based panel production, has been hit harder by the downturn than the secondary processing segment, in other words the broad range of technologies used in subsequent processing stages. There is more: according to the findings presented at the Heidelberg meeting, manufacturers supplying solutions for timber construction have achieved comparatively better results, as building with wood continues to gain market share not only in Europe, resulting in a greater willingness to invest.

EXPORTS

In 2025, German exports of woodworking machinery fell by 11 per cent to €2.26 billion. In the first quarter of 2026, they recorded a slight increase of 2 per cent compared with the same quarter of the previous year, reaching €570 million. The United States ranked first during the period under review, mainly thanks to a major order from the wood-based materials industry. Excluding large-scale plants for the production of panels and other wood-based materials, however, China ranks first, followed by Poland, France and the United States. Markets performing above average included Poland, Austria, Lithuania and Italy.

LOOKING AHEAD…

In a market still characterised by considerable tension, pragmatism and a strong willingness to change are essential. So far, companies in the sector have managed a period of weak demand without excessive disruption, but “… after a long period of great complexity marked by the pandemic, we now also have to deal with three years characterised by a constant decline in production”, commented Markus Hüllmann, Chairman of VDMA’s Woodworking Machinery Division. “These are truly challenging times, which almost all German companies in the sector have addressed by undertaking a far-reaching process of adaptation to changing markets: a significant achievement that shows just how much transformation is already under way”.

The conditions in which manufacturers operate are changing faster than ever, but it remains very clear that technological leadership must continue to be a key factor.

Added to this is demand for intelligent automation and logistics solutions… “and for new approaches”, added Bernhard Dirr, Managing Director of the VDMA Woodworking Machinery Association. “We must not get lost in the most sophisticated technical details: customers want to understand whether a technology is suitable for their business model; whether a machine enables them to manufacture a new product; whether new automation solutions allow them to become faster and more flexible.

Innovative digital solutions for customers, for example, make a difference. Engineering alone is no longer enough, and throughout the industry we are seeing manufacturers successfully adapt their product ranges, services and business models to the changing environment in which they operate”.