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GERMANY Partner of the World Documentation of Economy and Export 2018 ISSN 0343-9062

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GERMANY Partner of the World Documentation of Economy and Export 2018 ISSN 0343-9062 Titel_2018 16.11.2018 10:54 Uhr Seite 1 GERMANY Partner of the World Documentation of Economy and Export 2018 ISSN 0343-9062 1_Inhalt 16.11.2018 12:41 Uhr Seite 1 Contents Germany’s Foreign Trade – 2 Maintaining a Steady Course in the World Trade Order Vocational Training as Part of the Development Cooperation Concept – Improved Options Thanks to Sound Professional Expertise 6 iMOVE: Training – Made in Germany – Industry Responds to Skilled Worker Shortage with In-House Training 8 2 Mechanical and Plant Engineering – Producing the Future: Opportunities and Challenges 10 German Large Industrial Plant Manufacturing Industry – Large Industrial Plant Manufacturing Drives Change 12 The German Electrical Engineering and Electronics Industry – An Innovative Sector Spearheading Digitisation 15 The German Machine Tool Industry – 18 German Machine Tool Industry is Reaching New Heights 18 The German Automotive Industry – Strong Innovation to Achieve the Mobility, Transport and Logistics of Tomorrow 20 Railway 4.0 – Innovation and Inspiration – the Future of Mobility “Made in Germany” 22 The German Shipbuilding and Marine Engineering Industry – Leading the Way with High-Tech Products 24 20 The German Plastics Industry – From Rubbish to Resource: Closing Material Life Cycles for Plastics 26 The German Food Industry – A Valued International Trading Partner 28 The German Furniture Industry – German Furniture Industry Grows Slightly 31 24 The German Exhibition Industry – German Trade Fairs are Growing with Digital Support 34 German Exhibition Venues Invest in Modernisation 39 Koelnmesse – Trade Fairs Reconsidered 39 Travel Destination Germany – Incoming Tourism Continues to Grow 40 28 Addresses of German Embassies and Chambers of Commerce 42 Cover Picture: The JadeWeserPort in Wilhelmshaven is Germany's only deep-water port and can also handle the world's largest container ships. Furthermore, the town district of the same name is an interesting location for companies. Photo: ©JadeWeserPort, Wilhelmshaven 31 1 2-5_Aussenhandel 16.11.2018 15:28 Uhr Seite 2 Germany’s Foreign Trade Maintaining a Steady Course in the World Trade Order By Dr Holger Bingmann, President of the German Wholesale, Foreign Trade and Services Federation (BGA) Container handling at Hamburger Hafen & Logistik AG (HHLA)'s Container Terminal Tollerort ©HHLA/Thies Rätzke en years after the financial crisis we tries in particular, but also countries such as sense as it restores its ability to form mone- Tcurrently face a global trade policy crisis Italy, are highly indebted. And at the same tary policy in the event of future crises. – a massive attack on the rule-based world time base rates are at record lows. However, trade order. We must avoid being drawn in- in order to prepare for the next crisis, cen- Export and Import Growth to this chaos, instead keeping a cool head tral banks must raise rates in the near future First let us take a closer look at the figures and remaining on a steady course. In the so that they again have scope to shape mo- to date: in the first half our total exports first half of 2018 German foreign trade fared netary policy. In this regard the Federal Re- rose by four per cent (to EUR 662.9 billion). well – an outstanding achievement in view serve's interest rate decision makes good And our performance within the EU was es- of the global risks and ongoing geopolitical uncertainty. Meanwhile, in the background the decline in international incoming orders ©BGA “We welcome the efforts currently being made by clearly heralded a turning point. So after a the German government alongside our European positive first-half performance, we will not be able to maintain the pace of growth in neighbours within the framework of the G20 to foreign trade in the second six months. ensure stability and preserve the multilateral Against this backdrop we are cutting our trading system. We continue to require a stable, growth forecast for German exports in the predictable and rule-based framework for global current year to 3.5 per cent. The undermi- ning of the international economic order by trade.” the US is also a development we are regar- ding with considerable concern, with the By Dr Holger Bingmann, President of the German Wholesale, long-term effects of the financial crisis cau- Foreign Trade and Services Federation (BGA) sing additional difficulties. Emerging coun- 2 2-5_Aussenhandel 16.11.2018 15:28 Uhr Seite 3 pecially noteworthy, with exports of German goods to other EU member states rising by Germany’s Export Portfolio almost five per cent (+4.8% to EUR 459.1 billion). This underlines the significant eco- In 2017 Germany delivered goods worth EUR 1279 billion to international markets. nomic upturn in our European neighbours. These exported goods included: Whilst our exports to France rose by just 1.4 Cars and accessories 234 billion per cent, exports to Italy advanced by 8.6 Machinery per cent and to Spain by 3.9 per cent. Even Chemical products more noteworthy is the performance of Ger- Office machinery, EDP man imports, which rose by almost five per Metal and metal products cent in the first half (+4.8% to EUR 541.3 Electrical equipment billion). At the same time the shadows cast Pharmaceutical and related products by Brexit can no longer be overlooked: in Aircraft and space vehicles the first half alone our exports to the United Foodstuffs and fodder Kingdom fell by almost three per cent Rubber and plastic goods (-2.7%) to EUR 42.1 billion. The exchange Paper and printing products rate effect and the absence of foreign invest- Clothing ments in light of the continuing uncertain- Glass, ceramics ties regarding the future basic conditions for Mineral oil products bilateral trade are the key negative drivers Textiles here. German exports were also very strong Agricultural products outside Europe, though export growth to the Source: Statistisches Bundesamt American continent was comparatively weak at just over two per cent (+2.2% to EUR 78.3 billion). Exports to the US grew by tion was even higher at EUR 17.5 billion, up with Iran nevertheless. However, the upda- just one per cent (+0.8% to EUR 56.1 billi- 7.4 per cent year-on-year. So trade with ted Blocking Statute means companies are on). Business with Brazil, on the other hand, Russia remains volatile, with exports having faced with an impossible question of com- was considerably better, with exports to the fallen by 26 per cent in 2015 and then by a pliance with which they may even inadver- South American country rising by almost 17 further one per cent in 2016 before again ri- tently be playing into the hands of the US, per cent year-on-year (+16.7% to EUR 4.7 sing by 20 per cent last year. But here once while the financing of just the payment billion). At 4.5% (to EUR 125.3 billion) ex- again the clouds are gathering. And it is not transactions of trade with Iran continues to port growth to Asia was markedly stronger just that – in common with virtually every- cause us considerable concern. The EU than the increase in exports to North Ameri- where else – economic forecasts have been should do everything in its power to main- ca. This demand was driven in particular by downgraded. At the moment the USA is tain its sovereignty in foreign policy even if China, with German exports to the People's drawing up further sanctions against Russia this means creating its own new payment Republic advancing by 10 per cent to EUR whose impact, as with those imposed on transaction instruments. Countries outside 53.3 billion. China is and will remain a key Iran, is likely to be felt. Unsurprisingly, Ger- the EU must certainly not be able to dictate market and a difficult partner. However, the man-Iranian trade has suffered in advance to European companies the countries with USA remains the most important export of the US decision to withdraw from the which they may and may not trade. Accusa- trade partner, followed by France. Based on nuclear deal with Iran and the associated re- tions that the EU would circumvent the US trade volume overall, the People's Republic imposition of US sanctions. German exports sanctions with such actions should not deter of China ranks first. Friction in international to Iran have declined by almost seven per us. For what is at stake here is the legitimate trade between our most important trading cent (-6.9% to EUR 1.3 billion). And this is interest in facilitating bilateral trading rela- partner China and our most import export probably just the start of the downward spi- tions on the basis of European and interna- market the USA will undoubtedly have a ral. With its maximum pressure policy the tional law. Saudi Arabia also remains a huge impact on us. USA has made it very clear that it wishes to tough market in the region. Despite a tem- prevent all economic relations with Iran. So porary relaxation the condemnations of re- A Tough Situation in Individual Markets in this regard we welcome the endeavours of cent months have resulted in a 5.2 per cent Several individual markets are also giving the German government and the European decline in exports, and we regard the still us cause for concern, with the currency cri- Commission to enable German and Europe- very tense political relations as posing a sis and spiralling inflation this summer dra- an companies to continue doing business considerable risk to economic stability. The wing attention to Turkey's current account recent rise in the oil price illustrates that and budget deficit. With an inflation rate of conflicts could continue to hamper the glo- 18 per cent (as of August 2018) and foreign bal economic situation.
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