CSMA Delegation Visits Hungary for Industry Study

To promote the establishment of a new “dual-circulation” development pattern for the industry, and to gain an in-depth understanding of overseas market development and changes in demand for sewing equipment, the China Sewing Machinery Association (CSMA) organized a delegation of more than ten enterprise representatives to Hungary for study visits and exchanges.

As the largest local distributor, Tekin Group Kft warmly received the delegation under the hospitality of Executive Director Mr. Nazif Tekin. Focusing on topics such as industrial chain development trends, changes in equipment demand, after-sales service, supply of parts and accessories, and second-hand equipment sales, delegation members held thorough discussions and exchanges with Mr. Tekin.

According to the discussions, the downstream industries in Hungary have been significantly affected by multiple factors, including the Russia-Ukraine conflict, rising energy prices, high tax rates, inflation, and industrial relocation, leading to a decline in demand for sewing equipment. Relevant industries are mainly located in the central and southern regions of Hungary, with an estimated several hundred enterprises — mostly small and medium-sized companies with dozens of employees — producing women's clothing, underwear, and bedding products. Current challenges restricting industrial development include: insufficient and unstable orders; labor shortages caused by low wage levels combined with high taxes; inadequate worker skills and the lack of unified, standardized training systems.

It is estimated that there are around ten sewing equipment distributors in Hungary. Based on the equipment currently in use and prevailing demand characteristics, on one hand, customers are highly sensitive to cost-performance ratios, and the market for automated equipment and pre-sewing/post-sewing equipment has yet to fully develop; on the other hand, second-hand equipment holds a relatively high market share.

Of particular note, as Chinese sewing machines continue to improve in quality, performance, and stability, small and medium-sized end-users increasingly choose Chinese brands when purchasing equipment. Many users already require more integrated and digitalized functions, such as digital dashboards and real-time data statistics, indicating a gradual upgrade in market demand. In addition, Hungary is increasingly becoming a recipient of industrial transfers from European and Asian automobile manufacturers. Several automakers have launched local investment and plant construction projects. As supporting industries mature in the future, there may be growing demand for heavy-duty sewing equipment used in the production of car seats, interiors, airbags, and related products.