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International Marketing Opportunities Industrial Products & Machinery


August 30, 2016 Facebook Twitter LinkedIn Google+ Latest News,Entering New Markets,Marketing Your Company,Export Marketing


International Marketing Opportunities Industrial Products & Machinery

Industrial Products & Machinery

Although the global economy is still struggling to find its footing since the recent recession, the gathering strength of the industrial sector around the world has been one of the most positive developments. More productive and cost-efficient manufacturing techniques, increased M&A activity, and the “reshoring” of factories as low-cost manufacturing countries become less competitive primarily drove the sector’s newfound resurgence. We expect further growth as the demand for parts escalates from robust industries, such as airlines, automotive, energy, and building products.

2016 Industrial Manufacturing Trends
Of the major economic zones, the U.S. appears to be among the healthiest. And the performance of the nation’s industrial sector is a significant part of the improvement. The numbers for the first half of 2014 are revealing. Revenue growth for the sector — which includes subsectors as varied as construction and materials, industrial machinery, and industrial transportation — was up 3.2 percent compared with the same period in 2013. Net income margins rose to 7.3 percent in the first half of 2014 from 6.9 percent for all of 2013.

Perhaps most importantly, industrial capacity stood at 78.9 percent in October 2014, almost a full percentage point ahead of the previous year — despite a 3 percent increase in available capacity. It marked the fifth consecutive year of gains, putting companies in a position of being able to turn down less profitable projects.

Even in Europe, which has been wrestling with erratic economic growth, industrial companies are holding their own. According to a 2013 PwC survey (pwc.com), the leading global industrial companies achieve impressive EBIT margins of 17.3 percent on average. And in China, the number of industrial firms have more than doubled since 2000.

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