According to the latest ISA Economic Indicators Report (EIR) from the Industrial Supply Association, December activity among its manufacturer and distributor members remained strong, but at a slower pace than the previous month.
The report, calculated similarly to the ISM’s Purchasing Managers Index (PMI), showed manufacturer activity at 60.2%, down from the November index of 65.3%. The distributor index was 57.1%, down from the November index of 61.1%. For each index, a reading above 50% indicates expansion, while a reading below 50% indicates contraction.
“On the whole it was a good year for the industrial supply industry,” said Jack Schron, ISA president and president of Jergens Inc., Cleveland, Ohio. “Eighty-nine percent of manufacturers and 90% of distributors have reported higher year-to-date sales. New orders and sales revenues for manufacturers were reported higher in December 2011 vs. December 2010 for more than 75% of manufacturers and 85% of distributors.”
John Buckley, ISA executive vice president, added that while “overall activity has been very positive for the year, the fact that the index fell below 50 for the last few months of the year in the areas of business activity and new orders for both manufacturers and distributors gives us some reason for concern heading into 2012.”
For the complete report, click here. For the press release in Word format, click here.
The Industrial Supply Association is the leading association for members of the maintenance, repair, operations and production (MROP) supply chain, representing nearly 1,000 companies worldwide.Tagged with tED