East German mechanical engineering with order growth

In contrast to the national trend, the eastern German mechanical engineering sector recorded more orders in 2025. Orders increased by around 3 percent in real terms, while incoming orders stagnated nationwide, according to the industry association VDMA. Over the year as a whole, higher demand from abroad - mainly from the eurozone - contributed to the growth: up 4 percent.

At the end of the year, there was also a significant boost in domestic orders. According to the figures, domestic orders from machinery and plant manufacturers between the Baltic Sea and the Ore Mountains rose by 17 percent in December compared to the same month last year.

"No reason to sound the all-clear" - industry warns

"The figures for 2025 are a solid foundation, but no reason to sound the all-clear," explained Oliver Köhn, Managing Director of the VDMA Regional Association East. In order to stabilize growth, significantly better regional location conditions are needed. "First and foremost, this includes speeding up administrative processes so that investments in mechanical engineering and major projects are not slowed down by lengthy approval procedures at state level." To achieve this, the federal states would have to noticeably accelerate the digitalization of their authorities.

With money from the special fund for infrastructure and climate neutrality, investments in efficient transport axes and modern energy and logistics infrastructure must be initiated quickly. This would enable companies along the value chain to remain efficient and globally competitive in the long term.

According to VDMA, the VDMA Regional Association East comprises around 350 companies, plants and branches in the mechanical and plant engineering sector in Saxony, Thuringia, Saxony-Anhalt, Berlin, Brandenburg and Mecklenburg-Western Pomerania. On average, the industry provided 78,200 people with work in 2025. However, this only includes companies with at least 50 employees.