MAPI reports show growing pressure, but steady growth

Two reports released by the Manufacturers Alliance/MAPI show the manufacturing sector continues its slow growth, but that continuing pressures of government regulation and taxes are proving a drag on such growth. The quarterly Manufacturers Alliance/MAPI Survey on the Business Outlook in September showed a composite index of 66, down from the previous quarter total of 68, but a figure the repor...

11/01/2005


Two reports released by the Manufacturers Alliance/MAPI show the manufacturing sector continues its slow growth, but that continuing pressures of government regulation and taxes are proving a drag on such growth.

The quarterly Manufacturers Alliance/MAPI Survey on the Business Outlook in September showed a composite index of 66, down from the previous quarter total of 68, but a figure the report says is still historically high. A composite business index above 50 indicates that overall manufacturing activity is expected to increase over the next three months.

While still maintaining an optimistic view, the current index shows a marginal loss of momentum for a sector beset by a host of recent challenges, including natural disasters and rising energy costs. The current reading is the lowest since a composite index of 60 in June 2003, covering nine surveys, and down from the all-time high of 80 in June 2004.

"Although the composite and most individual indexes slipped from their June levels, they remain at relatively high levels and point toward expansion over the next three months and in 2006 as well," said Don Norman, Ph.D., Manufacturers Alliance/MAPI Economist and survey coordinator. "That there was some slippage in the indexes is not surprising given that the responses to this quarter's survey were made after Hurricane Katrina and the ensuing spike in oil and natural gas prices. What is significant is that the senior financial executives participating in the survey continue to be optimistic regarding the outlook for the manufacturing sector."

In another study from by the Manufacturing Institute and the Manufacturers Alliance/MAPI, manufacturing profits in five key sectors were 67% lower than they would have been from 2000 to 2003 because of adverse structural costs.

"Profit rates for durable goods and chemical manufacturing continue to be dramatically lower than their historic norm, primarily because of escalating domestic costs and intense international competition," said Jerry Jasinowski, president of the Manufacturing Institute.





Top Plant
The Top Plant program honors outstanding manufacturing facilities in North America. View the 2017 Top Plant.
Product of the Year
The Product of the Year program recognizes products newly released in the manufacturing industries.
System Integrator of the Year
Each year, a panel of Control Engineering and Plant Engineering editors and industry expert judges select the System Integrator of the Year Award winners in three categories.
May 2018
Electrical standards, robots and Lean manufacturing, and how an aluminum packaging plant is helping community growth.
April 2018
2017 Product of the Year winners, retrofitting a press, IMTS and Hannover Messe preview, natural refrigerants, testing steam traps
March 2018
SCCR, 2018 Maintenance study, and VFDs in a washdown environment.
April 2018
ROVs, rigs, and the real time; wellsite valve manifolds; AI on a chip; analytics use for pipelines
February 2018
Focus on power systems, process safety, electrical and power systems, edge computing in the oil & gas industry
December 2017
Product of the Year winners, Pattern recognition, Engineering analytics, Revitalize older pump installations
Spring 2018
Burners for heat-treating furnaces, CHP, dryers, gas humidification, and more
April 2018
Implementing a DCS, stepper motors, intelligent motion control, remote monitoring of irrigation systems
February 2018
Setting internal automation standards

Annual Salary Survey

Before the calendar turned, 2016 already had the makings of a pivotal year for manufacturing, and for the world.

There were the big events for the year, including the United States as Partner Country at Hannover Messe in April and the 2016 International Manufacturing Technology Show in Chicago in September. There's also the matter of the U.S. presidential elections in November, which promise to shape policy in manufacturing for years to come.

But the year started with global economic turmoil, as a slowdown in Chinese manufacturing triggered a worldwide stock hiccup that sent values plummeting. The continued plunge in world oil prices has resulted in a slowdown in exploration and, by extension, the manufacture of exploration equipment.

Read more: 2015 Salary Survey

The Maintenance and Reliability Coach's blog
Maintenance and reliability tips and best practices from the maintenance and reliability coaches at Allied Reliability Group.
One Voice for Manufacturing
The One Voice for Manufacturing blog reports on federal public policy issues impacting the manufacturing sector. One Voice is a joint effort by the National Tooling and Machining...
The Maintenance and Reliability Professionals Blog
The Society for Maintenance and Reliability Professionals an organization devoted...
Machine Safety
Join this ongoing discussion of machine guarding topics, including solutions assessments, regulatory compliance, gap analysis...
Research Analyst Blog
IMS Research, recently acquired by IHS Inc., is a leading independent supplier of market research and consultancy to the global electronics industry.
Marshall on Maintenance
Maintenance is not optional in manufacturing. It’s a profit center, driving productivity and uptime while reducing overall repair costs.
Lachance on CMMS
The Lachance on CMMS blog is about current maintenance topics. Blogger Paul Lachance is president and chief technology officer for Smartware Group.
Maintenance & Safety
The maintenance journey has been a long, slow trek for most manufacturers and has gone from preventive maintenance to predictive maintenance.
Industrial Analytics
This digital report explains how plant engineers and subject matter experts (SME) need support for time series data and its many challenges.
IIoT: Operations & IT
This digital report will explore several aspects of how IIoT will transform manufacturing in the coming years.
Randy Steele
Maintenance Manager; California Oils Corp.
Matthew J. Woo, PE, RCDD, LEED AP BD+C
Associate, Electrical Engineering; Wood Harbinger
Randy Oliver
Control Systems Engineer; Robert Bosch Corp.
Data Centers: Impacts of Climate and Cooling Technology
This course focuses on climate analysis, appropriateness of cooling system selection, and combining cooling systems.
Safety First: Arc Flash 101
This course will help identify and reveal electrical hazards and identify the solutions to implementing and maintaining a safe work environment.
Critical Power: Hospital Electrical Systems
This course explains how maintaining power and communication systems through emergency power-generation systems is critical.
click me