Power transmission industry expands, but at slower pace
The power transmission/motion control industry expanded in the third quarter of 2012 for the 10 consecutive quarter, but at a slower pace compared with the second quarter of the year.
The 3Q12 PTDA Business Index produced a reading of 50.3, which represents a deceleration from the 2Q12 reading of 54.2.
Both distributors and manufacturers in Canada and the U.S. reported decelerated sales growth compared with the last quarter. On average, sales rose 5 per cent in 3Q12, down from the 7 per cent growth seen in 2Q12. Distributor sales growth grew 5 per cent in 3Q12 down from 6 percent in 2Q12. Manufacturers also reported decelerated sales growth of 6 percent in 3Q12, compared with 8 percent growth last quarter.
PTDA members expect 2013 to be another year of growth, with an average forecast of 6 per cent. Notably, 83 per cent of distributors and 78 per cent of manufacturers surveyed expect positive growth in 2013.
The PTDA Business Index full report is available through PTDA’s website at www.ptda.org/BusinessIndex. It includes U.S. and Canadian breakout data in addition to historical data.