Subscribe to our free, weekly email newsletter!


MAPI responds to Federal Reserve Board report on industrial production

Manufacturing returns to growth, albeit at a slower rate.
By Modern Materials Handling Staff
October 16, 2012

The Federal Reserve Board reports that industrial production increased 0.4 percent in September after falling 1.4 percent in August. Daniel J. Meckstroth, chief economist for the Manufacturers Alliance for Productivity and Innovation (MAPI), offered the following commentary:

“Mining production increased 0.9 percent and utilities increased 1.5 percent, but manufacturing production increased only 0.2 percent in September after falling a much larger 0.9 percent the prior month. Manufacturing production did increase in 12 of the 20 major manufacturing industries and was flat in two others. Declines were reported in six industries, and there were large double-digit reductions in primary metals, motor vehicles and parts, and printing and support.

“Manufacturing production was front-loaded this year; it increased at a 9.8 percent annual rate in the first quarter but has since flattened out in the past two quarters, increasing at a 1 percent annual rate in the second quarter and falling at a 0.9 percent annual rate in the third quarter,” Meckstroth added. “We believe that manufacturing activity will grow at a modest 2.3 percent annual rate in the fourth quarter of this year, slightly faster than the overall economy. Housing starts and motor vehicles sales continue to post relative strong gains thanks to pent-up demand, capital goods makers have order backlogs that they are working down until we can get more clarity in fiscal policy, and the emerging countries are rebounding from a spring slump, which should improve export opportunities. The good news in the report is that manufacturing has returned to growth; the bad news is that the pace of growth is definitely much slower.”

Subscribe to Modern Materials Handling magazine

Subscribe today. It's FREE!
Find out what the world’s most innovative companies are doing to improve productivity in their plants and distribution centers.
Start your FREE subscription today!

Recent Entries

The PMI, the ISM’s index to measure growth fell 0.8 percent to 52.7 (a PMI of 50 or greater represents growth). PMI growth has been at 50 or higher for 31 straight months (with the overall economy growing for 74 months), and the current PMI is 1.7 percent below the 12-month average of 54.4.

Through acquisition of UniCarriers, MHI and Mitsubishi Nichiyu Forklift will achieve a full lineup of product offerings giving them greater response capacity to customers’ diverse needs.

his acquisition is part of OMRON’s strategy to promote its development of factory automation technology and strengthen its sales capability in the control device business.

In light of the growth of e-commerce-and the fact that consumers and businesses are buying again, many of the discussions that we had at ProMat 2015 didn't revolve around the products and the equipment on display as much as it did the supplemental technology and solutions that are designed to optimize systems in an effort to work "smarter."

The new name better represents how the company strategically partners with customers on lifecycle planning to maximize return on investment.

Article Topics

News · Economy · MAPI · Business · All topics

About the Author

Josh Bond, Associate Editor
Josh Bond is an associate editor to Modern. Josh was formerly Modern’s lift truck columnist and contributing editor, has a degree in Journalism from Keene State College and has studied business management at Franklin Pierce. Contact Josh Bond


© Copyright 2015 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA