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The new Chinese export controls on rare earths and some products made from them are increasingly becoming a massive problem. China cannot keep up with issuing the export licenses that are now required.

We always report on changes to major embargoes or embargo changes with significant relevance for mechanical and plant engineering at short notice. Here is an overview of less relevant embargo changes since January 2025.

The tabular VDMA overview "Country-related embargoes" makes it easy to find out which countries are currently subject to EU embargo measures and what the current status of the embargo texts is.

Incoming orders in the mechanical engineering sector fell by 6% in real terms in April compared to the previous year. An expected setback, given the uncertainty caused by US tariff policy.

With effect from May 29, 2025, the EU has largely, but not completely, lifted its sanctions against Syria. This is in response to the change in US policy towards Syria announced by President Trump in Saudi Arabia.

The Council has adopted its negotiating mandate on the eDeclaration. This is a first step towards less bureaucracy in the area of posting of workers.

This article provides an overview of the wide range of support available to German companies wishing to enter the African market. The overview is updated regularly, but does not claim to be exhaustive.

Sentiment among companies in the mechanical and plant engineering sector in Baden-Württemberg remains low

Letters of credit or advance payment are not very attractive in a competitive environment. Credit insurance for payment terms is an alternative. These are also an entry into export financing.

The EU and the United Kingdom have decided to enter into a dialog on the entry and stay of persons for business purposes. The VDMA hopes that this will facilitate work assignments in the United Kingdom.

The mechanical engineering sector started the year with a subdued export result. March at least showed a slight upward trend. However, the weaknesses in the Chinese and EU markets remain serious.

The EU provides consolidated versions of its sanctions regulations. In the case of the Russia sanctions, the consolidated legal texts have now been updated to the 16th sanctions package.

On May 20, 2025, the EU published its 17th package of sanctions against Russia. The measures (5 amending regulations) all come into force on May 21, 2025. Some of the tightened sanctions are also relevant for the mechanical and plant engineering industry.

Foreign exchange market was deregulated in March 2024. But expectations that exports would pick up afterwards were not fulfilled. VDMA members in Egypt nevertheless report good business.

Saudi Arabia in transition offers both challenges and opportunities. Local presence remains crucial, and not just because of increasing Chinese competition.

The new Trump tariffs are not only raising costs for the machinery sector, but creating confusion and uncertainty among manufacturers that export to the United States.

The first quarter of 2025 resulted in an overall increase in orders of 4% - the first positive quarterly balance of orders in three years. March also closed with a pleasing increase in orders of 4%.

The introduction of new US tariffs poses challenges for exporting companies. These trade policy measures can have a significant impact on cost calculation and risk distribution in international supply contracts.

The foreign trade department informs you about the latest developments in exports and supports you in accessing difficult markets. We support your international activities with offices worldwide and practical information.

In light of Trump’s tariffs, analysts highlight ASEAN’s risks from trade tensions but remain optimistic about the region's resilience. Singapore’s semiconductor industry stays cautious, exporters diversify suppliers and customers amid uncertainties.

The webinar on May 20, 10:00 a.m. to 12:00 p.m., is the first in a series of events organized by the Agency for Business and Economic Development (AWE), VDMA e.V. and Germany Trade & Invest (GTAI).

We provide a download from Euler Hermes on the new possibilities of Hermes Cover. The file contains important details on company-related support.

The Hermes Annual Report for Export Credit Guarantees 2024 has been published. The figures show how relevant the protection of export receivables against crises is.

The blanket punitive tariffs announced by Donald Trump will harm producers and consumers in both regions - and will exacerbate rather than resolve trade conflicts.

In February, order books in the mechanical engineering sector filled up unexpectedly strongly by 8% in real terms. Part of this growth was due to large-scale plant business and part to component business.

The mechanical engineering industry in Brazil will benefit from the simplification of certificates of origin through self-certification in Mercosur.

Tariffs of 25 percent on the import of cars and car parts have been announced. They are due to come into force starting May 3.

The Ministry of Heavy Industries (MHI) has published a Quality Control Order (QCO) for machinery in the "Gazette of India". From August 28, 2025, the products listed therein will require a market access mark.

The VDMA is intensifying its activities in sub-Saharan Africa and is looking forward to new support in the team of the foreign trade department

On March 12, the USA imposed tariffs of 25 percent on all steel and aluminum products, including some steel and aluminum derivatives. This affects the mechanical and plant engineering sector, especially the spare parts business.

Despite a slight decline in machinery exports to Kazakhstan in 2024, the German mechanical engineering industry remains confident

In 2024, machinery exports from Europe to the Southeast Asian region will still not be able to match the levels of the years before coronavirus and will even record further losses.

In response to the imposition of tariffs on steel and aluminum imports from the EU, the EU-Commission has initiated countermeasures against imports from the US. This included a consultation on EU countermeasures for US exports.

Benefit from the comprehensive expertise of the VDMA at the Hannover Messe! Take the opportunity for personal expert discussions with VDMA employees from various fields.

Since March 17, 2025, the notification procedure for employees posted to Switzerland has been handled exclusively via the EasyGov portal. The previous application for reporting short stays was deactivated on March 14, 2025.

After a dry spell of three years, the signs are pointing to growth for the industry.

Which trade associations, departments, forums and working groups are taking part this year? You can find this and more information on the planned events and key topics in the network flyer.

The EU's 16th sanctions package against Russia and Belarus has been somewhat lost in the excitement surrounding US President Trump. But there are new risks and details that VDMA members have to deal with.

President Trump is calling for reciprocal trade and tariffs – what impact might this have on machinery and equipment manufacturers and transatlantic trade?

With a liaison office for the ASEAN region, the VDMA aims to support European mechanical engineering in the region. Tiffany Ang has been representing the VDMA in the ASEAN region based in Singapore since January 6, 2025.

The USA and China remain top of the mechanical engineering export rankings in 2024. Overall, exports fell by a nominal 5 percent to just under 200 billion euros.

The EU Commission has launched a survey on the provision of construction and installation services. Take part!

The Hermes package of measures from January 2025 is also intended to offer the supplier industry more opportunities on the export markets. The VDMA explains what is important.

The Hermes package of measures from January 2025 improves the forfaiting guarantee. LBBW reports the first financing with this cover.

The Hermes package of measures from January 2025 offers applicants a German Footprint concept if they do not only export German value added.

English newsletter service of the Foreign Trade Department for VDMA members: The most important information at a glance. Subscribe now!

The Chinese government has taken countermeasures in response to the US government's announcement that it will impose an additional 10 percent tariff on all imports from China.

The study compares the salary structures of 80 key positions in manufacturing and business-related services across the Czech Republic and its regions.

The US tariffs for Canada and Mexico also affect the mechanical engineering industry - and its American customers. Quick negotiations are needed to get the tariffs off the table.

The EU and the Philippines announced the resumption of trade negotiations in 2024. VDMA prepared a document with the most important demands for the negotiating teams, e.g. the abolition of all tariffs.

The German government wants to boldly reform export promotion. SMEs in particular can benefit from this - if the banks go along with it.

A small ray of hope in orders from eurozone countries in November does not change the overall weather situation: orders in the mechanical engineering sector are not gaining momentum.

At the end of 2024, Switzerland and the EU managed to redefine their relations. It is questionable whether the necessary referendum in Switzerland will accept the rules.

The EU Commission agrees to postpone the Deforestation Regulation by one year following massive criticism.

The EU Commission has published the Combined Nomenclature (commodity codes) for the year 2025. There are only a few changes for mechanical engineering.

Order books in the mechanical engineering sector remain weak, with 9% fewer orders booked in October than in the previous year. Customers remain hesitant to make new investments

A weak global economy and many structural problems at home are weighing on the export business in the mechanical engineering sector. Exports fell by a good 5 percent in the first nine months.

VDMA supports companies in opening up international markets by participating in trade fairs, among other things. In addition to its own trade fair stands in Germany, it offers companies the opportunity to exhibit at group stand (German Pavilions).

The U.S. government has issued a notice of proposed rulemaking that would prohibit the importation of vehicles equipped with Chinese or Russian hardware or software.

Foreign guests face various challenges when applying for a visa and entering Germany. Inviting companies can support them.

The order situation in the mechanical engineering sector remains weak, particularly in Germany. However, companies are also still waiting for new investment momentum in global business.

On October 28, the Russian central bank raised the key interest rate to 21 percent. At the same time, it indicated that the interest rate could soon rise even higher. The reasons are high inflation and the overheated economy.

Fabiane Wahlbrink, head of VDMA Brazil, was able to expand the network for mechanical engineering at conferences and trade fairs. The hydrogen industry is just one example.

The EU Commission proposes postponement of the Deforestation Regulation by one year following massive criticism.

The following summarizes the discussions with VDMA members' branches in Turkey and with Turkish mechanical engineering companies as well as the second meeting of VDMA members in Istanbul.

VDMA hopes for a breakthrough: a Free Trade Agreement between the EU and Indonesia can significantly advance the European mechanical engineering industry in Southeast Asia.

Weak global trade and a lack of investment will result in an 8% drop in mechanical engineering production in 2024. A trend reversal will probably not set in until 2025.

Baden-Württemberg's machinery and plant manufacturers recorded a significant decline in exports to foreign markets in the first half of 2024.

For the first time in months, orders only fell in single digits in July. However, this does not yet mean a turnaround; there is a lack of impetus for new investments worldwide.

Since 1 July 2024 work assignments in the Czech Republic must be reported via an online reporting platform. The procedure is complex and many rules are still unclear.

Mechanical engineering recorded a nominal decline in exports of 4.8% in the first half of 2024. Weak demand from Europe and China in particular weighed on exports.

New opportunities for companies, investors, and individuals will emerge in Brazil and abroad as the H2 policy promotes economic development, environmental protection, energy security, and international cooperation.

There are no signs of a turnaround in incoming orders. Orders fell significantly in June and also with a view to the first half of 2024. Germany and the euro countries in particular are weakening.

Competition with China is also becoming tougher on third markets. The VDMA position paper formulates expectations of politicians with regard to China.

China's mechanical engineering industry continues to catch up, products from the Far East are improving and are almost always cheaper. But China's industry is also benefiting from subsidies across the board. Results of a new VDMA study.

There is a growing tendency not to include full tariff liberalization in EU Free Trade Agreements. This is unacceptable for the machinery sector.

In Brazil, the law on accelerated depreciation for the modernization of industry has come into force. Until the end of 2025, companies will be encouraged to purchase new machinery and equipment with tax benefits.

The deforestation regulation forces us to act.

Major effort required to implement the CO2 border adjustment mechanism

China still requires an official PU invitation for certain countries of origin.

The tips for business success in the United States have been updated. The exclusive publication for VDMA members is now available in German and English.

China has developed rapidly and, as a result, undergone considerable change. This has an impact on the economic and political environment to which the machinery and plant engineering industry cannot close its eyes.

VDMA study shows need for catching up (or pent-up demand) for German financing offers

Germany Trade and Invest (GTAI) provides a monthly overview of publications relevant to mechanical engineering on Africa exclusively for VDMA members.