China Closes Gap in Wood Machinery as Italy Eyes Growth in Africa

As China tightens its hold on Asia and pushes into South America, Italian manufacturers are turning to Africa to offset falling demand at home.


Sun 01 Feb 26

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The post-pandemic boom in wood and furniture machinery is over, with demand for and investment in European wood machinery starting to slow after years of “exceptional” investment took production to record highs. That is according to new data published by Acimall, the peak body for Italy’s woodworking and furniture‑manufacturing supply chain, revealing that total production of Italian machines fell to €2.168 billion last year, a decline of more than 10 per cent over 2024 and almost 20 per cent over 2023 with China tightening its grip on Asia and rapidly expanding into the growing South American market.

“The exceptional wave of investments of recent years could only trigger a trend reversal in the current season,” said Acimall director Dario Corbetta. “Unfortunately, this reduction, which I would consider natural, was combined with other negative factors for our industry, first of all, the disappearance of some markets such as Russia, Belarus and partly Ukraine, for the reasons we all sadly know.”

Acimall said that sanctions on Russia and Belarus, and disruptions in Ukraine, have led Italian (and German) manufacturers to lose major markets in the east. Here, @Euravision looks at how the Russian woodworking and furniture sectors have adapted to the 2022 sanctions.

As it stands, Italy is, alongside Germany and China, one of the “big 3” machinery, accounting for more than 20 per cent of the world’s machines. Together with Germany, it leads the world in high‑tech, high‑value equipment, including precision CNC systems, finishing and sanding lines, furniture‑manufacturing automation, and edge‑banding technology. But in recent years, Italian and German suppliers have faced intense competition from China, especially in the low‑ to mid‑range product lines, where massive scale, lower production costs and improving mid‑tier technology have enabled Chinese manufacturers to take market share.

“Chinese production has basically covered the entire Asian continent and has also approached South America, where Italian and European supplies are still maintaining their positions,” Corbetta said. “Our industry is continuing its success in North America and in Europe, and it is looking with increasing attention to Africa, which remains the big challenge of the future.”

Globally, European (and Chinese) manufacturers are increasingly using AI and state-of-the-art technology to make high-tech machinery that maximises efficiencies and maximises timber recovery.
A post‑pandemic correction?

According to Corbetta, the slowdown follows several years of rapid expansion fuelled by the Covid‑era investment boom, during which production climbed to more than €2.530 billion in 2021, €2.646 billion in 2022, before peaking at €2.650 billion in 2023. However, that growth has now subsided, with production falling to €2.420 billion in 2024, down 8.7 per cent from 2023, before dipping a further 10.7 per cent last year.

China is “muscling into” South American markets with machinery, including in the fast-growing Brazilian, Chilean, Colombian, and Mexican markets, to expand its wood‑products and furniture industries. In this video, @IndoPacific Report looks at the growing influence of Beijing in Latin America.

Exports, which had been a major driver of growth, also fell sharply last year. Overseas sales dropped 13.9 per cent to €1.458 billion, while domestic sales slipped 2 per cent to €710 million. Imports rose 5.3 per cent to €240 million, and apparent consumption held steady at €950 million. The trade surplus narrowed to €1.218 billion, almost 17 per cent lower than the previous year.

But despite the downturn, Italy remains one of the world’s most important destinations for wood‑technology equipment. Domestic demand approached €1 billion in 2025, and Acimall says industry sentiment remains cautiously optimistic: “Our constant contacts with industry companies show positive signals, confirmed by the small decrease of reference values compared to the overall figure,” Corbetta said, adding that new government incentives that further push “made in in Italy” and “made in Europe” branding can help drive further growth.

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  • J Ross headshot

    Jason Ross, publisher, is a 15-year professional in building and construction, connecting with more than 400 specifiers. A Gottstein Fellowship recipient, he is passionate about growing the market for wood-based information. Jason is Wood Central's in-house emcee and is available for corporate host and MC services.

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