Monday, February 22, 2010
Material handling equipment orders contracted 37.4% in 2009 are are forecasted to grow 6.0-9.5% in 2010, according to the latest Material Handling Equipment Manufacturing Forecast (MHEM) released by Material Handling Industry of America (MHIA).
“Industrial Production activity is increasing even though Factory Operating Rates (Utilization) remain very low by historical comparison," said Hal Vandiver, MHIA executive vice president of business development.
"We continue to believe that demand created as the economy shifts from recession into recovery mode (filling supply chain pipelines, re-establishing inventories, and responding to pent up demand) is the principal impetus for improvement over the next few quarters in manufacturing, warehousing and distribution. Later in the cycle, MHEM will benefit from expanding residential and non-residential building sectors; but not significantly until late 2011 or even 2012.”
In addition, material handling equipment shipments contracted 34.4% in 2009 and are forecasted to grow 1.0 to 2.0% in 2010. Domestic demand (shipments plus imports less exports) contracted 34.7% in 2009 and will grow 1.0 to 2.0% in 2010. Exports and imports will improve in 2010 at about the same rate.
The MHEM forecast of material handling equipment manufacturing is released each quarter by MHIA and looks 12 to 18 months forward to anticipate changes in the material handling and logistics marketplace.
MHIA is an international trade association that has represented the material handling and logistics industry since 1945. MHIA members include material handling and logistics equipment and systems manufacturers, integrators, consultants, publishers, and third party logistics providers. Member companies come from all areas of material handling and various parts of the world, making MHIA a strong national and international representative for the material handling and logistics industry. Much of the work of the industry is done within its product-specific Industry Groups. The association sponsors trade events, such as ProMat 2011 and NA 2010 to showcase the products and services of its member companies and to educate manufacturing, distribution and supply chain professionals on the productivity solutions provided through material handling and logistics.
Contact: Carol Miller, Vice President of Marketing & Communications, Material Handling Industry of America (MHIA) (704) 676-1190/800-345-1815.