VDMA: Surface technology relies on stabilization and international strength
The surface technology sector continues to operate in a challenging economic environment. Uncertainty, reluctance to invest and geopolitical risks are shaping demand, while international competitiveness is proving to be a key stability factor.
Surface technology companies continue to operate in a challenging market environment, as the VDMA reports on the occasion of SurfaceTechnology Germany 2026. Although the mechanical engineering sector has bottomed out in some areas, demand from many customer industries remains volatile overall. Reluctance to invest, geopolitical tensions and high uncertainties regarding costs and supply chains are making planning more difficult. "Surface technology is highly innovative and internationally competitive. At the same time, the speed and power of implementation are increasingly reaching their limits if the framework conditions in Germany are not reliable," says Robert Hild, Managing Director of the VDMA General Air Treatment Association. As an export-oriented industry, surface technology is feeling the effects of increasing geopolitical fragmentation particularly keenly. Trade barriers, sanctions regimes and ongoing discussions about tariffs - for example on steel and aluminum derivatives - are increasing uncertainty and dampening investment decisions.
Volatile incoming orders, supported by foreign trade
Incoming orders in the surface technology sector declined overall in 2025. Over the course of the year, it was down 12%, with the domestic market trending significantly weaker than foreign markets. The subdued trend continued at the beginning of 2026. Individual major projects also lead to strong monthly fluctuations. Nevertheless, foreign trade remains a mainstay of the industry. German exports of surface treatment equipment and systems increased significantly in 2025, growing by more than 20% compared to the previous year. However, the regional picture is very mixed: While deliveries to the EU declined, important impetus came from the USA and Mexico. Exports to China, on the other hand, fell noticeably. For manufacturers, stable trade and customs policy conditions are therefore crucial for investment decisions.
Subdued expectations in surface technology for 2026
The downward trend also continued on the production side. Domestic production fell again in 2025, while the importance of international locations continues to increase. The results of the latest VDMA economic survey reflect this mixed situation: although many companies rate their situation as stable, more than 60 percent see a deterioration in business development in the coming months. Accordingly, after a downturn in 2025, the General Air Treatment Technology Association anticipates a nominal drop in sales of around 2% for the surface technology sector in 2026. The signs could only improve again from 2027 - provided that external conditions stabilize. For surface technology, 2026 will therefore primarily be a year of consolidation. Companies are well positioned technologically, but momentum is increasingly limited by location factors. Investments in customer industries, reliable trade policy decisions, a reduction in bureaucracy and the consistent use of digitalization, service and export potential are crucial. The European market must also regain its strength, according to the VDMA.
Contact details and information on the companies and institutions presented here can be found in our interactive surface technology industry directory.