VDMA Reports On Garment And Leather Technology

The Germany-based German Engineering Federation’s (VDMA’s) Garment and Leather Technology
Association — an organization that represents the sewing and garment machinery, shoe and leather
production machinery, laundry and textile cleaning equipment, and technical textiles finishing and
processing machinery sectors — recently held its annual member meeting in Baden-Baden. The
association reports small signs of recovery in recent weeks for an industry that realized 1.005
million euros in production volume in 2008. From January to August 2009, the sector experienced a
drop in incoming orders of 26 percent, which was slightly better than the average drop experienced
by most other mechanical engineering sectors, according to Tilo Ullmer, chairman, VDMA’s Garment
and Leather Technology Association.

Ullmer cited problems for global customers as reasons for the decrease in orders for the
sector. “For almost two years, the leading markets for the garment and footwear industry, such as
China and Turkey, have seen their income drop by 30 percent or more,” Ullmer said. “Structural
problems in the key markets of our customers were then compounded by the global financial crisis.”

In 2008, Germany exported garment and leather technology worth 773 million euros. When
compared to an export volume of 891 million euros in 2007, the 2008 value reflects a drop of 13.2
percent, but Germany was able to maintain its position as the fourth-most-important supplier
country globally for garment and leather technologies ranking behind China, Italy and South Korea.

The association also discussed its plans to support the Texprocess exhibition to be held in
Frankfurt in May 2011. “Texprocess gives us the urgently needed new market platform for exhibitors
and customers working in the garment industry and the manufacture of technical textiles,” said
Elgar Straub, managing director, VDMA’s Garment and Leather Technology Association. “Here Europe
plans to, and will, pave the way forward. The [Messe Frankfurt] trade fair offers outstanding
textile expertise and internationality, which makes it just the right partner.”

November 24, 2009