Bernhard Martin Siegert’s Post

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Expert @ BCG | Greentech, Machinery, Industrial Automation

General purpose equipment: A €306B global business opportunity by 2030. Let’s dive into it!   This is part 2 of our series, where we explore the Greentech, Machinery & Automation landscape.   What is general purpose equipment? General purpose equipment includes a comprehensive range of tools and machinery. For example, forklifts & industrial trucks, cranes, power tools, measuring & testing equipment and hand tools   Key stats: 📊 Market value (2023): ~ $243B, $306B expected by 2030 📈 Growth (CAGR): ~ 3-4% until 2030 💹 EBIT margin: ~ 8-10% expected by 2030   Footprint: 🌍 ~ 40% in Asia, ~ 30% in Europe and ~ 30 % in North America with Asia and North America growing while Europe declining through 2030 due to slower economic growth, stricter regulations, and increased competition from Asian manufacturers offering more cost-effective solutions.   Trends and risks: 📈 Robotics and focus on ergonomic and customized design ⚠️ Intense price wars, import restrictions and trade uncertainties   Industry dynamics: 🔗 Consolidation among major players to achieve economies of scale 🛠️ Increasing focus on aftermarket services and digital solutions 🌿 Shift towards more sustainable and energy-efficient equipment 🌍 Growing demand from emerging markets driving global expansion   Top segment: 🧪 Measuring and testing equipment with ~ $40B market size in 2023, ~ 15% EBIT margin and ~ 7% growth expected through 2030. M&T equipment is a highly fragmented market with companies like Amatek, Thermo Fisher or Carl Zeiss leading in some of the distinctive niches. The large share of the market is filled with highly specialized players serving only one vertical or specializing in a distinctive measurement technology.   Stay tuned for Part 3 on instruments & sub-systems! Would you like to discuss some of those markets? Reach out to Jonathan Brown and Sebastian Heimbach any time.   #IndustrialGoods #Greentech #Machinery #Automation #BCGInsights

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5mo

Insightful! ✔️ Though I had a question about Trends and Risk - For General purpose equipment, what data points are showing import restrictions and trade uncertainties are risk for this sector? Ideally the policy makers don’t care , as the technology theft or IP theft risk is nil.

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