Economic Performance of the Machinery Industry in the First Half of 2025 Released: What Implications Does It Hold for Machinery Manufacturers?

Recently, the China Machinery Industry Federation held a briefing on the economic performance of the machinery industry in the first half of 2025, releasing the operational status of the machinery industry during that period.

Whether you are an enterprise or an individual practitioner in the machinery industry, understanding the overall economic performance of the sector enables you to better gauge industry trends, prepare for the future, and ultimately achieve greater success within the field.

So, what exactly was the economic situation of the machinery industry in the first half of 2025? What insights does it offer to industrial machinery enterprises?

Economic Performance of the Machinery Industry in the First Half of 2025

Economic Performance of the Machinery Industry in the First Half of 2025

(Image source: China Machinery Industry Federation)

Meanwhile, the machinery industry has also shown several bright spots. The driving force of emerging industries has strengthened: industries related to strategic emerging sectors within the machinery industry collectively achieved growth rates in operating revenue and total profits that were 1.3 and 5.4 percentage points higher than the overall machinery industry, respectively. Among these, industries such as new energy equipment, energy-saving and environmental protection equipment, and high-end equipment manufacturing all saw growth rates in operating revenue and total profits significantly higher than the machinery industry's overall level. Green transformation continues to accelerate: The new energy vehicle market maintained rapid growth, while the rapid development of clean energy equipment significantly contributed to the construction of a new energy system.

(Image source: China Machinery Industry Federation)

Foreign trade exports maintained relatively rapid growth: In the first half of the year, the machinery industry achieved a total import and export value of goods trade amounting to US$597.6 billion, representing a year-on-year increase of 7.1%.

Major technological equipment has achieved remarkable results: In recent years, the machinery industry has focused on the high-quality development needs of sectors such as energy, transportation, and chemicals, actively promoting collaborative innovation and joint research efforts. In the first half of the year, a number of major technological equipment projects achieved new breakthroughs, overcoming critical bottlenecks and providing robust equipment support for major engineering projects and industrial chain security.

What will be the outlook for the machinery industry in the second half of 2025?

The fundamental conditions supporting the sustained positive development of the machinery industry and its steady growth trajectory remain unchanged. The industry retains its strengths of a solid foundation, strong resilience, and significant potential. Its endogenous momentum for development remains robust, and the certainty of achieving high-quality development in the machinery sector continues to strengthen. 

First, from the Central Economic Work Conference to the Political Bureau meeting, a series of favorable policies and measures for the machinery industry have been continuously rolled out. Macroeconomic policies have become more proactive, sustained, and timely in their implementation. The “Two New” policies have expanded in scope and improved in quality, driving high-quality development of the “Two Major Projects.” The issuance and utilization of government bonds have been accelerated to bolster support for technological innovation, boost consumption, aid small and micro enterprises, and stabilize foreign trade. Second, the Ministry of Industry and Information Technology is set to release work plans for stabilizing growth in sectors like machinery, automobiles, and power equipment. These plans focus on enhancing high-quality supply capabilities, optimizing the industry development environment, and driving effective qualitative improvements and reasonable quantitative growth. Therefore, it is projected that the machinery industry's economic performance will maintain a stable and positive overall trend in the second half of the year. Key economic indicators are expected to grow by approximately 5.5% for the full year, with foreign trade remaining fundamentally stable.

What insights does this offer for machinery manufacturing enterprises?

In the first half of 2025, China's machinery industry demonstrated a stable and positive development trend amid a complex economic environment, yet it also faced multiple challenges including cost pressures and intensified market competition. To address the current situation and seize development opportunities, machinery enterprises need to implement a series of practical measures.

Digital transformation and smart manufacturing upgrades represent the core direction for the development of the machinery industry. Enterprises should actively advance the construction of smart factories, optimize production processes, and enhance automation levels while strengthening the application of industrial software and artificial intelligence technologies. Optimizing supply chains and market layouts is crucial for enhancing corporate resilience. In expanding overseas markets, enterprises can draw on the experiences of leading companies.

Machinery manufacturing enterprises should increase investment in R&D for high-end equipment, overcome technical challenges, and respond to national policy support in fields such as artificial intelligence.

 Strengthening cost control and risk management is fundamental to ensuring the stable operation of enterprises. In optimizing production models, companies can adopt approaches such as staggered production schedules and intelligent equipment upgrades to reduce energy consumption and labor costs.