Anticipated growth in US industrials manufacturing could bode well for industrial equipment wholesalers in 2015. The Manufacturers Alliance for Productivity and Innovation Quarterly Economic Forecast calls for industrials manufacturing production to grow 4 percent in 2015. The economic environment is looking promising, with low inflation and stronger employment growth. High-tech manufacturing production is expected to grow 7.2 percent in 2015; non-high-tech manufacturing production is set to advance 3.8 in 2015. Good news for the industrial equipment distributors: industrial equipment expenditures are slated to grow 10.9 percent in 2015.
US manufacturing activity, a key demand indicator for industrials supply wholesalers, rose for the 17th consecutive month in October 2014, according to the Institute for Supply Management (ISM). Of the 18 manufacturing industries reporting to the ISM, 16 reported growth in October. Industries experiencing the strongest growth included makers of plastic and rubber products, textile mills, fabricated metal products, primary metals, electrical equipment, appliances and components, and nonmetallic mineral products. Overall, manufacturers reported faster growth in production, new orders, and employment.
Posted by John Hammett.