After experiencing a good investment climate, the global textile machinery market is bearing the burnt of global recession by experiencing a slower rate of growth. Imports and exports, both have declined. China, which is the largest importer of textile machineries experienced a fall of 14% in its imports during Jan-Oct 2008 against the figures of 2007. Germany, which is largest exporter also saw a major fall in demand for textile machinery down 12% during Jan-July 2008 against the same period in 2007.
According to the report of the Association of Italian Textile Machinery Manufacturers (ACIMIT), Italy's textile machinery industry experienced 18% lower production as compared to 2007. China, India, and Turkey, although leading purchasers were down as compared to 2007. Germany, United States and Switzerland placed fewer orders for textile machinery where as Brazil, Egypt and Bangladesh have emerged as strong markets for textile machinery.
According to the experts, the situation will not improve in 2009 due to current credit crunch and demand for more guarantees by banks for providing credit lines along with other reasons main being uncertain financial markets and dependence of the textile industry on state subsidies in many countries.
Now the industry struggles to maintain the growth instead of further rise in demand for textile machineries globally. The growing Asian textile industry will be the main factor that will renew the business of western textile machinery manufacturers along with the local competitors. The rising demand for nonwoven disposable textile products like filters and tissues will also lead to growth in textile machinery market mainly in the emerging economies of China and India etc. where nonwovens are introducing good business opportunities because of the growing prosperity in these countries. Rising demand for eco- friendly fibers will boost the textile machineries that use a more eco- friendly textile processes.