#2 – Inside Our Industry – We Choose OptimismPosted on | Inside Our Industry
We Choose Optimism
With our core business in manufacturing, we wanted to share the good news happening right now, even amid this unprecedented pandemic, in our industry. We did not have to look long, as there is plenty of positive things happening. Sure, there are some not-so-good things too, but…we choose optimism. Here are some positive things we have seen.
- Federal Reserve reported June 16 that total industrial production increased by 1.4% in May as many factories around the country returned from lock-down to reopen production at reduced rates. Nationally, the industrial production rate remains 15.4% below its level in February, before the COVID-19 pandemic began negatively impacting production in March. Output rose 3.8% in May as most major industries posted increases, including motor vehicles and parts. (Industry Week)
- Forbes headline states, “Due to COVID-19, Manufacturing Will Experience Five Years of Innovation in the Next 18 Months”. Between solutions that leverage the power of the cloud for visibility and automation that optimized work, necessity will drive invention: manufacturers will do five years of innovation in the next 18 months. (Forbes)
- ISM Manufacturing Index rose to 43.1 in May from 41.5 in April. Levels above 50 indicate expansion in the industry. We expect this index to continue to gradually rise. (ISM)
- According to a Thomas survey in April of 878 North American manufacturing and industrial sector professionals, as disruptions from the coronavirus pandemic continue to unfold, 64% of the companies surveyed “are likely to bring manufacturing production and sourcing back to North America,” to avoid similar difficulties in the future. Among industries, manufacturing reported the most interest in nearshoring , with 28% of manufacturing respondents saying they were “extremely likely” to bring more production and sourcing back to North America following the pandemic. (SupplyChainDive)
These are just a few of the encouraging reports we have seen. While these unprecedented times continue to be uncertain, we remain optimistic that our business, our country, and our industry will be stronger.