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MACHINERY sector relies on financing through EU funds
English Section Publicat de Ovidiu Stefanescu 31 Iul 2016 15:53
As is known, in the field of insulating windows, the most affected area during the recession was the one specialized in providing the processing equipment. Such a situation was, moreover, anticipated, as the investments of the companies declined drastically and immediately, in response to tightening the credit conditions and declining the cash flows that would have made possible the purchase of equipment by own resources. Subsequently, with some exceptions, the various issues concerning the absorption of European funds and state aid, on which can be made and (re)industrialization of the enterprises in the windows branch, delayed recovery in the sector. After a relatively good year (2015), the current one marked by double elections began and is likely to continue with various problems jeopardizing the specific market. In the first six months of this year, one can easily observe that, despite the exceptional growth of GDP - in fact, the highest in the EU (+ 4.1%, which meant occupying the first position, along with Sweden, in the first quarter this year, as adjusted series, compared to the same period in 2015, and + 1.5% compared to the previous quarter, which placed us all in first place) - they noted some fluctuations at specific indicators which hardly influence the analyzed industry. Thus, was found some cuts on investments in the national economy (reflected by a quite drastic reduction of direct foreign investments) and other negative situations, such as reducing the volume of work construction market (in January-March 2016) and the drastic reduction (towards zero), at least so far, of the absorption of EU funds, on which relies the machinery market. However, it is hoped that these irregularities to be punctual - and solved quickly - especially because, since the general conditions remain relatively favorable, companies in the industry have adapted to new market realities, so, now, the offer was polarized in some degree. It must notice that for a sustainable growth of the market is necessary a strong revival of the construction sector as a whole, at the moment this being an unlikely perspective if takes into consideration the current data reflecting the evolution of the volume of works.
 
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