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ANALYSIS: Machinery sector has started a gradual recovery

After a brief analysis of the thermal insulating joinery market, it results with a fair degree of confidence that the area most affected by the recession has been the sales of equipments designated for processing the windows and doors assemblies, and the ones for glass and wood processing. Such a situation was anticipated since the start of economic crisis, as the investment of the companies declined drastically and immediately, in response to tightening the credit conditions and declining the cash flow which would have made possible the purchase of equipments. Subsequently, various issues concerning the low absorption of European funds and the "de minimis" program, on which can be carried a modernization of windows companies have induced more difficulties which delayed recovery in the sector. Lately, the increase of investments in the national economy, and in the construction sector (with its related segments) and the improve of the absorption rate of EU funds causes a gradual recovery of the equipment supplies. In the new relatively favorable conditions, the most significant specialized companies managed to adapt to the market realities, especially that in previous years, most companies with a poor solvency have restructured their business or have shifted to other businesses that provides best results in terms of profitability, so that, at present, the supply is somehow polarized. The companies which decided to continue the work despite a heavy reduction in profitability and  the decrease of new machines purchases focused mainly on providing service, supplying parts and, in many cases, selling second-hand equipments. This reality, resembling with an attempt of survival, also had a positive effect - namely enhancing the professional development of employees in the sector - which are able, today, to perform multiple actions with a high added value which are complementary for the sales process itself. Moreover, it became clear that in the short term the market has good chances of recovery.

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