Switching and routing equipment market in Germany

Earlier Report Observations

The German market for switching and routing equipment saw mixed movements from 2018 to 2020. Market volume dipped to 22 912 thousand units in 2019 before recovering to 25 728 thousand units in 2020, a period where domestic production fell to 7 542 thousand units while imports grew steadily.

A pronounced expansion began in 2021, with market volume rising to 30 045 thousand units. This growth was driven by the accelerated adoption of digital communication channels in businesses, such as smartphones and messaging services, which increased demand for network infrastructure. The upward trend continued strongly into 2022, with the market reaching 49 335 thousand units supported by imports that climbed to 61 640 thousand units.

By 2024, the market volume had advanced to 52 007 thousand units. This period was characterized by substantial investments in telecommunications infrastructure and hardware innovation, fueled by state-backed broadband and smart-city projects across Europe including Germany. Concurrently, global chip shortages and component supply constraints limited manufacturing capacities and extended lead times, shaping the market's supply side.

Production switching and routing equipment in Germany

In value, 2017-2020, M $ US

Germany's production of switching and routing equipment has declined for the third year in a row. In 2020, output was valued at 846 million US dollars, marking a significant 22.7% drop compared to 2019. Over the period from 2017 to 2020, production fell by 34.1%, with an average annual decline of 13.0%.

Annual dynamics of production in Germany in value, 2017-2020, M $ US

In kind, 2017-2020, K unit

In 2020, Germany produced 7 542 thousand units of switching and routing equipment, which is 16.6% less than the previous year. Between 2017 and 2020, production decreased by 16.4%, translating to an annualized rate of 5.8%. The highest production level was recorded in 2019 at 9 047 thousand units, with the largest increase of 0.6% also occurring that year.

Annual dynamics of production in Germany in kind, 2017-2020, K unit

Exports switching and routing equipment from Germany

Exports in kind, K unit

After two years of growth, Germany's exports of switching and routing equipment declined. In 2020, Germany exported 27 339 thousand units, representing a 7.8% decrease from the previous year. From 2017 to 2020, exports overall increased by 3.5%, with an annualized growth rate of 1.2%. The peak export volume was in 2019 at 29 654 thousand units, and the largest increase of 6.3% was also recorded that year.

Annual dynamics of product's exports from Germany in kind, 2017-2020, K unit

Between 2017 and 2020, no single market dominated Germany's exports of switching and routing equipment. Italy accounted for 11.5% of exports in kind, France for 9.8%, and Poland for 9.3%, together making up 30.7% of total exports. Many smaller partners each held modest individual shares.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Germany in kind, 2017-2020

Exports in value, M $ US

Following a two-year rise, Germany's export volume of switching and routing equipment in value terms declined. In 2020, exports amounted to 5 888 million US dollars, showing a modest 6.6% decrease from the previous year. Over the 2017-2020 period, exports increased by 20.9%, with an average annual growth rate of 6.5%. The highest value was recorded in 2019 at 6 302 million US dollars, and the largest increase of 23.9% occurred in 2018.

Annual dynamics of product's exports from Germany in value, 2017-2020, M $ US

From 2017 to 2020, Germany's switching and routing equipment exports were distributed across many different markets. Even the largest destinations—the United States, the United Kingdom, and France—together represented only 23.5% of total exports in value terms.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Germany in value, 2017-2020

Imports switching and routing equipment to Germany

Imports in kind, K unit

Germany's imports of switching and routing equipment increased for the second consecutive year. In 2020, import volume reached 45 525 thousand units, up by 4.6% from 2019. The lowest import level was in 2018 at 42 824 thousand units, with the largest decline of 5.2% also recorded that year.

Annual dynamics of product's imports to Germany in kind, 2017-2020, K unit

Between 2017 and 2020, China, Poland, and the Netherlands were the main suppliers of switching and routing equipment to Germany. China accounted for 45.5% of imports in kind, Poland for 10.0%, and the Netherlands for 6.4%, together making up 62.0% of total imports.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Germany in kind, 2017-2020

Imports in value, M $ US

Germany's import volume of switching and routing equipment in value terms increased for the third year in a row. In 2020, imports stood at 9 843 million US dollars, which is 4.7% higher than the previous year. From 2017 to 2020, imports grew by 19%, with an annualized rate of 6.0%.

Annual dynamics of product's imports to Germany in value, 2017-2020, M $ US

Throughout 2017 to 2020, China, the Netherlands, and the United Kingdom were the key sources for Germany's imports of switching and routing equipment in value terms. China represented 38.9% of imports, the Netherlands 9.7%, and the United Kingdom 6.0%, together accounting for 54.5% of total import flows.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Germany in value, 2017-2020