U.S. manufacturing seen rising in 2008
U.S. manufacturers expect revenue to be nearly 7% higher in 2008 over 2007.
Dow Jones Newswires reported the nation's manufacturing and non-manufacturing sectors will see rising growth and increased revenues in the New Year, but leaders in those sectors are also worried about rising inflation pressures.
A report from the Institute for Supply Management said a survey of its membership found respondents in the manufacturing sector expect to see revenues rise by 6.8% next year, versus the 2007 gain of 2.4%.
Globally, ARC Advisory Group reported automation suppliers continued to post strong revenue growth in the third quarter of 2007. Suppliers saw big project wins in the oil & gas, refining, petrochemical, and mining sectors during the quarter.
They posted big gains in Asia, led by China and India, and in the oil-rich Middle East. Oil & gas project activity continued to be strong in North America and Latin America.
There are signs the period of sustained double-digit growth may be ending, as the U.S. economy slows and major oil companies face profit pressures as they are wedged between rising crude prices and softening demand for refined products.
Compared to the same quarter in 2006, the total combined revenues of all suppliers experienced year-on-year growth of 11%. ARC expects strong growth over the short term.