Indian machine tool industry faces downward pressure on demand

After experiencing a market growth rate of 30% for five consecutive years, the Indian machine tool industry is facing a drop in demand caused by a sharp drop in customer demand. Despite these challenges, Indian machine tool production still maintained a level of growth that was basically the same as in previous years, with 86% of the contribution coming from the Jinche machine tool and the rest being metal forming machine tools.

Faced with the global economic downturn, the Indian government has also taken a series of positive responses to restore industrial growth and maintain this momentum.

CNC machine tools account for about 65% of all machine tool sales in India. Throughout the industry, lathes, machining centers, special machine tools, presses and grinders accounted for 80% of all machine tools produced in India in 2008. The ever-evolving manufacturing industry has pushed India to the ninth largest machine tool consumer market. The growth of new industries has boosted demand for large-scale machine tools, leading to increased imports. In terms of metal processing machines, imported products account for 75% of the entire domestic market in India. From a macroeconomic point of view, during the year of the global economic downturn from April 2008 to March 2009, India’s economic performance remained smooth and its GDP growth exceeded 5%. In the previous three years, India’s gross domestic product had maintained a continuous growth of over 9%, making it the second fastest growing economy in the world.

From the perspective of the competitiveness of the industry itself, Indian machine tools have the following characteristics: they have the ability to provide high-performance machine tools and equipment for Indian and overseas users; they strive to transform themselves into high-productivity, high-efficiency, and more cost-competitive industries; and attach great importance to quality. Establish close integrated relationships with suppliers and secondary suppliers; actively communicate with customers in the automotive industry, defense industry and other fields.