nam manufacturers’ outlook survey by quarter · electrical equipment and appliances....
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![Page 1: NAM Manufacturers’ Outlook Survey by Quarter · Electrical equipment and appliances. Transportation equipment. Computer and electronic products. Food manufacturing. Machinery. Nondurable](https://reader034.vdocuments.mx/reader034/viewer/2022042810/5f97400fdcb3c65cfc5c49a1/html5/thumbnails/1.jpg)
Revised May 14, 2018
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56.6%
61.7% 61.0%
77.8%
93.3%
89.5% 89.8%
94.6% 93.5%
2016:1 2016:2 2016:3 2016:4 2017:1 2017:2 2017:3 2017:4 2018:1
NAM Manufacturers’ Outlook Survey by Quarter(First Quarter 2016 – First Quarter 2018)
Source: NAM Manufacturers’ Outlook SurveyNote: Percentage of respondents who characterized the current business outlook as somewhat or very positive.
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-1.0%
0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
2016:1 2016:2 2016:3 2016:4 2017:1 2017:2 2017:3 2017:4 2018:1
Expected Manufacturing Growth Over Next 12 Months(First Quarter 2016 – First Quarter 2018)
Sales Exports Capital Investments Full-Time Employment
Avg. 12-Month Growth Rates Sales: ↑ 5.7%
Exports: ↑ 1.2%Capital Investments: ↑ 3.9%
Full-Time Employment: ↑ 2.9%Source: NAM Manufacturers’ Outlook SurveyNote: Expected growth rates are annual averages.
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5.5%
5.7%
12.0%
15.0%
18.8%
64.6%
68.8%
74.7%
Weaker global growth and slower export sales
Challenges with access to capital
Weaker domestic economy and sales for our products
Strengthened U.S. dollar relative to other currencies
Unfavorable business climate (e.g., taxes, regulations)
Rising raw material costs for our products
Rising health care/insurance costs
Attracting and retaining a quality workforce
Primary Current Business Challenges(First Quarter 2018)
Source: NAM Manufacturers’ Outlook SurveyNote: Respondents were able to check all that apply. Therefore, responses exceed 100 percent.
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50
52
54
56
58
60
62
64
66
68
70
Jan-17 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan-18 Feb Mar Apr
ISM Manufacturing Purchasing Managers’ Index(January 2017 – April 2018)
Purchasing Managers' Index New Orders Production Employment
Source: Institute for Supply Management
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-1.4%
-1.0%
-0.6%
-0.2%
0.2%
0.6%
1.0%
1.4%
1.8%
2.2%
2.6%
Jan-17 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan-18 Feb Mar
Percentage Changes in Manufacturing Production(January 2017 – March 2018)
Manufacturing Durable Goods Nondurable Goods
Source: Federal Reserve Board
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-0.5%
0.0%
0.5%
1.0%
1.5%
2.0%
2.5%
3.0%
3.5%
4.0%
4.5%
Jan-17 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan-18 Feb Mar
Year-Over-Year Industrial Production Growth(January 2017 – March 2018)
Industrial Production Manufacturing Durable Goods Nondurable Goods
Source: Federal Reserve Board
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74.0%
74.2%
74.4%
74.6%
74.8%
75.0%
75.2%
75.4%
75.6%
75.8%
76.0%
101.0
101.5
102.0
102.5
103.0
103.5
104.0
104.5
Jan-17 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan-18 Feb Mar
Manufacturing Production and Capacity Utilization, January 2017 to March 2018
Manufacturing Production Manufacturing Capacity Utilization
Manufacturing Production (2012=100)
Manufacturing Capacity
Utilization (SIC)
Source: Federal Reserve Board
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-1.2%
-1.2%
-1.5%
-1.6%
-2.0%
-4.4% Miscellaneous durable goods
Apparel and leather
Aerospace and other transportation equipment
Paper
Printing and support
Furniture and related products
1.0%
1.2%
1.6%
2.2%
3.6%
3.9%
4.1%
4.9%
5.0%
5.2%
5.4%
7.3%
8.2%
Petroleum and coal products
Textile and product mills
Electrical equipment and appliances
Plastics and rubber products
Food, beverage and tobacco products
Chemicals
Primary metals
Wood products
Fabricated metal products
Computer and electronic products
Machinery
Nonmetallic mineral products
Motor vehicles and parts
Year-Over-Year Growth in Manufacturing Production by Sector(March 2017 to March 2018)
Source: Federal Reserve Board
YEAR-OVER-YEAR GROWTHManufacturing (NAICS): ↑ 3.3%
Durable Goods: ↑ 3.8%Nondurable Goods: ↑ 2.7%
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55.5
51.6 51.1
53.8
58.1
53.9
48.4
60.7
50.6
52.3
53.8 53.7
55.554.8
51.6
63.6
54.8
52.853.5
IHS Markit Purchasing Managers’ Indices for the Top 20 Export Markets for U.S. Manufactured Goods
(April 2018)
N/A
Source: IHS MarkitNote: Top 20 Export Markets Based on 2017 Data from the U.S. Commerce Department
Emerging Markets Manufacturing PMI: 51.3Eurozone Manufacturing PMI: 56.2
Global Manufacturing PMI: 53.5U.S. Manufacturing PMI (Markit): 56.5
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$0
$200
$400
$600
$800
$1,000
$1,200
$1,400
$1,600
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018YTD
U.S.-Manufactured Goods Exports, 2000–2017 (in Billions of Dollars, Seasonally Adjusted)
Durable Goods Manufactured Goods Nondurable Goods
Note: Year-to-date data in 2018 are annualized based on data for the first quarter.Source: U.S. Department of Commerce
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74
76
78
80
82
84
86
88
90
92
94
96
98
Trade-Weighted U.S. Dollar Index Against Major Currencies, 2014–2018
(Currency Units per U.S. Dollar, 1973=100)
2014 2015 2016 2017 2018
Source: Federal Reserve Board
The U.S. dollar has fallen 8.0 percent since the end of 2016 against major currencies, but has risen 4.0 percent since January 25.
Yet, since June 2014, the U.S. dollar has risen 16.3 percent.
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259
200
73
175155
239
190
221
14
271
216
175 176
324
135
164
18 2110 10 4
14-4
39
620 30
3920
3122 24
Jan-17 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan-18 Feb Mar Apr
Monthly Changes in Employment(January 2017 – April 2018, in Thousands of Employees)
Nonfarm Payrolls Manufacturing
Source: Bureau of Labor Statistics
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3.8%
4.0%
4.2%
4.4%
4.6%
4.8%
5.0%
12.3012.3212.3412.3612.3812.4012.4212.4412.4612.4812.5012.5212.5412.5612.5812.6012.6212.6412.6612.68
Jan-17 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan-18 Feb Mar Apr
Employment Situation, January 2017 – April 2018
Manufacturing Employment Unemployment Rate
Millions of Workers Unemployment Rate
Source: Bureau of Labor Statistics
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0.6
2.8
4.7
5.9
7.1
10.5
10.8
13.8
14.9
16.8
20.6
23.0
30.842.4
54.0
60.4
Petroleum and coal products
Paper and paper products
Miscellaneous durable goods manufacturing
Wood products
Chemicals
Nonmetallic mineral products
Primary metals
Plastics and rubber products
Miscellaneous nondurable goods manufacturing
Electrical equipment and appliances
Transportation equipment
Computer and electronic products
Food manufacturing
Machinery
Nondurable goods
Fabricated metal products
Manufacturing Sectors with the Largest Net Employment Gains
(April 2017 to April 2018, in thousands of employees)
Source: Bureau of Labor Statistics
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260
280
300
320
340
360
380
400
420
440
460
Jan-17 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan-18 Feb Mar
Manufacturing Job Openings, Hires and Separations(January 2017 – March 2018, in thousands of workers)
Job Openings Hires Separations
Source: Bureau of Labor Statistics
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1.2%
3.1% 3.2%
2.9%
2.3%
3.5%
3.2%
2.8%
2017:I II III IV 2018:I II III IV
Real Gross Domestic Product(Chained 2009 Dollars)
Real GDP Forecast:↑ 2.3% (2017)↑ 3.0% (2018)↑ 2.6% (2019)
Source: Bureau of Economic Analysis, NAM calculations using Moody’s Analytics simulation model
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-0.25%
0.00%
0.01%
0.09%
0.11%
0.20%
0.43%
0.76%
0.97%
Residential Fixed Investment
Nondurable Goods Consumption
State and Local Government Spending
Federal Government Spending
Net Exports
Change in Private Inventories
Nonresidential Fixed Investment
Service-Sector Consumer Spending
Contributions to Percentage Change in First Quarter 2018 Real GDP Growth
First Quarter 2018Real GDP Growth
↑2.3%
Durable Goods Consumption
Source: Bureau of Economic Analysis
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80
85
90
95
100
105
110
25
35
45
55
65
75
85
95
105
115
125
135
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Business and Consumer Sentiment Surveys
University of Michigan Consumer Confidence Conference Board Consumer Confidence NFIB Small Business Optimism
Consumer Confidence Indices
NFIB Small BusinessOptimism Index
Source: University of Michigan/Thomson Reuters, Conference Board, National Federation of Independent Business
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0%
1%
2%
3%
4%
5%
6%
7%
Jan-17 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan-18 Feb Mar
Year-Over-Year Growth in Retail Sales(January 2017 – March 2018)
Retail Sales Excluding Autos
Source: Census Bureau
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0
200
400
600
800
1,000
1,200
1,400
Jan-17 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan-18 Feb Mar
Housing Starts, January 2017 – March 2018(Seasonally Adjusted, at the Annual Rate)
Single-Family Starts Multifamily Starts
Source: U.S. Census Bureau
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1.0%
1.5%
2.0%
2.5%
3.0%
3.5%
Jan-17 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan-18 Feb Mar Apr
Year-Over-Year Percentage Changes in Producer Prices(January 2017 – April 2018)
Final Demand Final Demand Less Food, Energy and Trade Services
Source: Bureau of Labor Statistics
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1.2%
1.4%
1.6%
1.8%
2.0%
2.2%
Jan-17 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan-18 Feb Mar
Year-Over-Year Percentage Changes in the PCE Deflator(January 2017 – March 2018)
Personal Consumption Expenditure (PCE) Deflator PCE Deflator, Excluding Food and Energy
Source: Bureau of Economic Analysis
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Manufacturing Workforce –Growing the Manufacturing Talent Pipeline
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Manufacturing Day
October 5, 2018
More convinced that manufacturing provides careers that are interesting & rewarding.
84%More aware of manufacturing jobs in their communities.89%More motivated to pursue careers in manufacturing.64%
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Why We MFG Day1. Empower manufacturers2. Change public perception of manufacturing3. Introduce people to manufacturing careers4. Draw attention to the roles manufacturers play
in their communities5. Underscore the economic and social
significance of manufacturing
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Heroes MAKE America• 10-week training program: CPT
certification and core manufacturing training
• Tours of manufacturing facilities, networking opportunities, manufacturing speakers
• Transitioning military, training becomes duty station
• Average cost: $3,000-$4,000 per soldier
• Goal of an 85% job placement rate
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STEP AheadWomen are underrepresented in the manufacturing workforce. Women constitute one of manufacturing’s largest pools of untapped talent, representing only 29% of the manufacturing workforce.
STEP Ahead Awards highlight the achievements of women in manufacturing to:
• celebrate their accomplishments
• attract women to the industry
• encourage women to mentor and inspire the next generation of female talent to pursue manufacturing careers
The Institute has honored
803 women in manufacturing.
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Apprenticeship• MI & USCCF joint paper on implementing and assuring quality in earn and learn
programs• USDOL TF is moving towards conclusion. Sec. Acosta has distributed USDOL
guidance on how it will consider organizations wishing to certify industry recognized apprenticeships (IRA).
• TF subcommittees have reached consensus on recommendations• Through the SAGs, MI is working with 6-8 states to explore potential state
incentives for IRA.• MI in partnership with USCCF, will seek foundation funding to support the
development of the QA model and infrastructure as described in the paper.
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