Ucima data shows slowing orders and production cost hikes

The packaging machinery manufacturing sector grew by 2.3 per cent in the first half of 2026, but June year-on-year figures indicate a slowdown as production costs increase, according to the latest data from the Italian Packaging Machinery Manufacturers’ Association (Ucima).

Findings from the Ucima-Mecs economic monitoring service showed that turnover rose consistently over the first six months compared with the same period in 2025 – with a 2.8 per cent uptick recorded in the second quarter alone.

Growth was mainly driven by the Italian market, which expanded by 12.5 per cent (6.3 per cent in quarter two), while international markets posted a more moderate increase of 0.9 per cent (2.2 per cent in Q2), the research revealed.

However, the body warned that year-on-year findings for June pointed to a slowdown despite a production backlog of nearly eight months.

Domestic market contrast

Between January and June 2026, the orders index fell by 2.5 per cent overall compared with the first half of 2025 – with 3.3 per cent growth in Italy contrasting with a 3 per cent drop abroad.

Although the index recorded a 1.1 per cent increase (2.6 per cent in Italy and 1 per cent abroad) for Q2, the year-on-year comparison for June 2026 versus June 2025 confirmed a softening, with overall orders declining by 0.8 per cent.

The decrease was more pronounced in the domestic market (down 7.4 per cent) than in international markets (down 0.6 per cent).

Widespread increases in the costs of plastics and energy, directly linked to the adverse economic environment resulting from the Middle East conflict, were also found to be affecting key inputs.

‘In good health’

“The results for the first half of the year confirm that our sector remains in good health and continues to be one of the most dynamic segments of Italian manufacturing,” said Maurizio Bertocco, who was recently named Ucima president.

“However, the slowdown in order intake is a source of concern, as it clearly reflects a reduction in investment by our international customers, driven by the uncertainty generated by tariff policies and the various conflicts that remain unresolved. At the same time, rising production costs are placing further pressure on companies’ margins.

“On the other hand, we are pleased with the performance of the Italian market, which is undoubtedly benefitting from government incentive schemes, including the extension of the Transition 5.0 plan and the new enhanced capital allowance measure.”

Bertocco succeeded Riccardo Cavanna as president on 2 July, during Ucima’s annual general meeting. He will serve in the role until 2030.

Ucima data shows slowing orders and production cost hikes

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Ucima data shows slowing orders and production cost hikes

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