Sunday, November 4, 2018

Reallocation Reduces Distance Between Market And Production In The Machinery Manufacturing Industry


Globally, machinery manufacturers are re-allocating their production plants closer to consumer markets to reduce costs and offer high quality products to customers. Rapid wage increases, rising transportation costs and the difficulty of effective quality control at offshore locations are leading them to re-assess the attractiveness of off-shoring production locations in the developing countries. These factors are encouraging many companies to relocate production closer to their markets. For example, General Electric (GE) shifted a major part of its production from China back to the USA in 2015.

THE BUSINESS RESEARCH COMPANY EXPECTS THE MACHINERY MANUFACTURING GLOBAL MARKET TO GROW TO $4 TRILLION BY 2021

Asia Pacific was the largest region in the machinery manufacturing market in 2017, accounting for nearly half of the market share. This is mainly due to the size of the region’s economy and high demand for machinery from the region’s large agriculture, and manufacturing industries, including, automobile, telecommunication, and electronic appliances markets.
The chart below shows the year-on-year growth of the global machinery manufacturing market during 2017– 2021



According to The Business Research Company’s Consultant, Nitin Gianchandani, many machine manufacturing companies are using robotics and automation to improve assembly and warehouse operations efficiency. Sensors are being used in various machines to access invaluable data for improving efficiencies and reduce potential breakdowns. For instance, according to a report by Boston Consulting Group (BCG) in 2015, 1.2 million industrial robots are expected to be deployed by 2025, thus indicating rise in automation and robotics technology adoption to improve productivity and reduce production costs.

Download a sample of the report at: https://www.thebusinessresearchcompany.com/sample.aspx?id=341&type=smp

General Electric Co was the largest player in the machinery manufacturing market, with revenues of $75 billion in 2016. General Electric’s strategy aims at reducing its costs of turbine manufacturing by taking advantage of advanced manufacturing technologies. It is acquiring companies in the turbine manufacturing value chain. In 2015, it acquired Alstom’s power and grid businesses, a French company that provides power equipment and grid software solutions. In the same year, it also acquired Metem Corporation, a USA based precision cooling hole manufacturing technologies provider. GE also acquired LM Wind Power, a Denmark based Wind Turbine Blades Manufacturer, in 2017.

The machinery manufacturing industry comprises establishments primarily engaged in manufacturing industrial and commercial machinery. These establishments assemble parts into components, sub-assemblies and complete machines.

Machinery Manufacturing Global Market Report 2018 is a detailed report giving a unique insight into this market. The report is priced at $8000 for an individual user. To use across your office, the price is $12000 and $16000 if you wish to use across a multinational company.

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