25
In the two-year market weakness, the solidarity pact with short-time work and bonus waiver was the successful means of choice for crisis management for Sumitomo (SHI) Demag. Further measures are now needed due to the significant market weakening this year at a level of 50%.
The company, which continues to be regarded as one of the greatest contenders to directly address manufacturing productivity challenges across the globe, is realistic about the investment headwinds that lie ahead. The market weakness results from a further decline in investment willingness in the automotive, electronics and construction industries. “In the medium term, a revival of investment activity in these sectors is not expected. The slumps being experienced have been exacerbated by market conditions beyond our control. Like these industries, we must prioritise how we adapt and adjust our core competencies and production capacities to best support our customers and these wider industry transformations”, explains Christian Maget, CEO of Sumitomo (SHI) Demag.