Berlin's slowdown on furniture: exports down 10%.

However, this is not an easy market for companies in the furniture and design world, which on the one hand find Italy partly slowed down after the stop to the Superbonus, while at the same time a priority foreign market such as Germany is in difficulty, in a general context in which the high level of interest rates slows down investment, with obvious repercussions for a large supply chain, well represented here.

'It is clear that the superbonus in Italy has helped,' explains Michela Frattini, of the eponymous faucet manufacturer, 'and now the market is weaker. Although after a difficult first two months we can see some recovery. Germany? We see a slowdown of 10%'. "The German drop can be felt," commented Marco Paini, entrepreneur of the group of the same name, which has reached a record of almost 140 million in revenues, "and it is clear that Italy has faced a 'bubble' situation in recent years. We remain confident and continue to invest, as we have 60% of our sales linked to exports and we are counting on a recovery in other areas'.

ISTAT data confirm the weakness in Berlin, with a slowdown in purchases of Made in Italy, which in the first two months as a whole is worth 4.1%, but which becomes double-digit for both the vast area of metal products and furniture.

"For some time we have seen that market slowing down," explains Elica CEO Giulio Cocci, "but we are equipped to cope with this phase, after the restructuring of recent years. In Germany there are difficulties but we are convinced that every economic cycle has a beginning but also an end. And Germany itself will most likely be the first to show signs of recovery'.

"For us it is not an export market," explains Scavolini's CEO Fabiana Scavolini, "but it is clear that the weakness of that economy is pushing the whole of Europe down and is a problem. Italy is slowing down after a golden two-year period between 2021 and 2022, but we hope that the Salone del Mobile will be able to give an additional boost".

"For us, Italy is the main market," explains Veneta Cucine board member Denise Archiutti, "and we certainly see that renovation bonuses have supported the market in the past. Now the market is less tonic, but in perspective we think that the European objective of moving towards 'green' houses can be a driving force not only for facades and exteriors but also for our sector".

A German slowdown linked in particular to construction, with new building permits falling by double digits, which actually penalises the valve sector (related in a narrow sense to new construction) more than the tap sector, as highlighted in the latest Mce Expocomfort sector review.

Among faucet manufacturers, there are indeed also those who manage to grow in Germany, as is the case with Nobili, which achieves more than ten million sales in Berlin, almost 15% of its revenues. "We are gaining market share," explains Marketing Director Giorgio Nobili, "and so the slowdown is not visible at the moment. Last year in general we lost 11% compared to 2022, paying for the destocking of numerous customers. Now, however, we actually see a good recovery and we count on growing, returning to the levels of two years ago'.

The situation is similar for Smeg, which continues to grow in foreign markets in 2024, while like other manufacturers it is paying the price for the national slowdown after the stop of the superbonus.

'The market here is 'quiet', to put it mildly,' explains sales manager Guido Bertelli, 'and so we have to be innovative, because in these conditions you can only improve by gaining new market shares.