Tag Archive for 'manufacturing'

AEM Partners with SkillsUSA To Tackle Manufacturing’s Skills Gap

The Association of Equipment Manufacturers has teamed up with SkillsUSA, a partnership of students, teachers and industry representatives to help provide America with a skilled and developed workforce.

The partnership began with AEM and SkillUSA’s mutual respect for each organization’s commitment to be a solution to the skills gap, grow interest in skilled and technical trades, dispel stereotypes, as well as ensure all students are both college and career ready. From there, the collaboration seemed obvious.

“AEM is thrilled to be able to partner with SkillsUSA as part of our ongoing effort to open doors for the association’s members and allow them to gain access to uniquely valuable opportunities to enhance their workforce and help secure a bright future for our industry,” said Julie Davis, AEM director of workforce development.

SkillsUSA provides educational programs, events, and competitions that support career and technical in classrooms across the nation. More than 345,000 students and advisors join SkillsUSA each year, and there are more than 19,000 local chapters across the nation introducing their members to skills that induce career readiness, responsibility, and effectiveness.

The Association of Equipment Manufacturers:

AEM is the North American-based international trade group representing off-road equipment manufacturers and suppliers, with more than 1,000 companies and more than 200 product lines in the agriculture and construction-related industry sectors worldwide. The equipment manufacturing industry supports 1.3 million jobs in the U.S., and 149,000 more in Canada. Equipment manufacturers also contribute $188 billion combined to the U.S. and Canadian economies. AEM is celebrating its 125th anniversary in 2019. Learn more about AEM at www.aem.org

AEM Hails North American Leaders on Signing USMCA, Urges Implementation

Association of Equipment Manufacturers (AEM) issued the following statement today on the recent signing of the United States Mexico Canada Agreement (USMCA) by U.S., Mexican, and Canadian leaders:

Dennis Slater, AEM President

“Equipment manufacturers applaud the recent signing of the USMCA and are advocating for its quick implementation,” said Dennis Slater, president of AEM. “Ratifying the USMCA will ensure North America’s manufacturing competitiveness and supports our industry’s nearly 1.5 million men and women working across the U.S. and Canada.”
Nearly 30 percent of all equipment produced in the U.S. is intended for export. Since the creation of NAFTA two decades ago, the equipment manufacturing industry has benefited greatly from duty-free access to our industry’s largest two export markets, Canada and Mexico. AEM recently issued a statement of support for the new USMCA, calling a “step in the right direction.” AEM will be engaging the incoming 116th Congress in the New Year on the importance of the USMCA to U.S. manufacturing.
AEM is the North American-based international trade group representing off-road equipment manufacturers and suppliers, with more than 1,000 companies and more than 200 product lines in the agriculture and construction-related industry sectors worldwide. The equipment manufacturing industry supports 1.3 million jobs in the U.S., and 149,000 more in Canada. Equipment manufacturers also contribute $188 billion combined to the U.S. and Canadian economies.

Wells Fargo Reports: Construction Spending Softens in August

Wells_Fargo_Securities_logoFor the second consecutive month, total construction spending pulled back in August. The loss of spending momentum was broad based with lower readings in residential, nonresidential and public spending.

Broad-Based Weakness

  • Following a downwardly revised 0.3 percent decline in July, construction spending fell 0.7 percent in August. Private sector outlays declined 0.3 percent, while public sector spending tumbled 2.0 percent.
  • Private nonresidential construction, which has been on a roll recently, took a breather in August, led by declines in commercial, power and manufacturing.

Sector Outlook Still Constructive

  • While the August report proved soft, construction spending continues to reflect a sector with positive momentum. Through the first eight months of the year, construction spending is up 4.9 percent from the same period in 2015. Anticipation for the continuation of the U.S. economic expansion and a low interest rate environment supports our outlook for moderate construction spending gains in the quarters ahead.

Construction Spending Softens in August

Construction Spending Softens in August Construction Spending Softens in August Construction Spending Softens in August

ABC Reports: Nonresidential Construction Spending Down Again in June, First Annual Decline Since 2013

1291931467352794367Nonresidential construction spending dipped 1 percent in June and has now contracted for three consecutive months according to analysis of U.S. Census Bureau data released today by Associated Builders and Contractors (ABC). Nonresidential spending, which totaled $682 billion on a seasonally adjusted, annualized rate, has fallen 1.1 percent on a year-over-year basis, marking the first time nonresidential spending has declined on an annual basis since July 2013.

“On a monthly basis, the numbers are not as bad as they seem, as May’s nonresidential construction spending estimate was revised higher. However, this fails to explain the first year-over-year decline in nearly three years,” said ABC Chief Economist Anirban Basu. “There are many forces at work, most of them negative, with the noteworthy exception of construction materials prices, which are down on a year-over-year basis. To the extent that savings are being passed along to purchasers of construction services, spending would appear lower in dollar terms than when measured in physical terms such as square footage.

“Thanks in part to the investment of foreign capital in America, spending related to office space and lodging are up by more than 16 percent year-over-year,” said Basu. The global economy is weak, and international investors are searching for yield and stability. U.S. commercial real estate has become a popular destination for foreign capital. However, the weakness of the global economy may also help explain the decline in manufacturing-related construction spending of nearly 5 percent for the month and more than 10 percent year-over-year.

“Though many contractors continue to report extensive backlog, the data suggest that average firm backlog may begin to retrench,” warned Basu. “The only significant driver of economic growth in America presently is consumer spending. Corporate profits remain stagnant and business investment remains underwhelming. Public sector spending does not appear positioned to accelerate anytime soon despite the passage of a federal highway bill last year.”

Precisely half of the 16 nonresidential subsectors expanded in June. Two of the largest subsectors—manufacturing and commercial—experienced significant contractions in June, however, and were responsible for a majority of the dip in spending.

Tepid spending by public agencies also continues to shape the data. Despite a monthly pick-up in spending, water-supply construction spending is down 14 percent on a year-over-year basis. Public safety construction spending is down 8.4 percent from a year ago, sewage and waste disposal by nearly 15 percent, highway and street by about 6 percent, education by 4 percent and transportation by more than 3 percent.

Chart_8_1_16 Spending_8_1_16

To see more visit:

http://www.abc.org/NewsMedia/ConstructionEconomics/ConstructionEconomicUpdate/tabid/270/categoryid/46/Default

ABC Reports: Nonresidential Spending Surges in April

 

CEU2

“The upbeat assessment of nonresidential construction in April has been rendered more meaningful by the upward revisions for prior months.”—ABC Chief Economist Anirban Basu.

Spending 6.1.15Today’s Census Bureau release regarding nonresidential construction spending did not just offer good news about April; it also supplied upwardly revised spending data for both February and March. Nonresidential spending expanded 3.2 percent on a monthly basis in April and spending totaled $646.7 billion on a seasonally adjusted, annualized basis, according to the government’s initial estimate. Nonresidential construction is up by a solid 8.8 percent over the past year, consistent with ABC’s forecast of high single-digit growth. The Census Bureau also revised March’s nonresidential spending figure from $611.8 billion to $626.7 billion, and February’s figure from $613.1 billion to $618.4 billion. Initial estimates suggested that nonresidential construction was sagging during the early months of the year; however, the new data indicate spending has expanded during each of the previous three months.

“The upbeat assessment of nonresidential construction in April has been rendered more meaningful by the upward revisions for prior months,” said ABC Chief Economist Anirban Basu. “The presumption had been that nonresidential spending construction data would improve as we approached the summer, and the outlook ahead remains solid. There is a considerable amount of financial capital available to move construction projects forward and low interest rates certainly help. While the availability of substantial financial capital may eventually produce over-built private construction markets, for now the expectation is that progress will continue.”

All but one nonresidential construction sector experienced spending increases in April:

  • Manufacturing-related construction spending expanded 2.6 percent in April and is up a whopping 52.9 percent on a yearly basis.
  • Office-related construction spending expanded 3.7 percent in April and is up 8.8 percent compared to the same time one year ago.
  • Construction spending in the transportation category grew 1.6 percent on a monthly basis and has expanded 11.6 percent on an annual basis.
  • Lodging-related construction spending was up 5.5 percent on a monthly basis and 17.6 percent on a year-over-year basis.
  • Health care-related construction spending expanded 2.1 percent for the month and is up 2.6 percent compared to the same time last year.
  • Spending in the water supply category expanded 0.7 percent from March and is up 0.8 on an annual basis.
  • Public safety-related construction spending gained 2.3 percent on a monthly basis, but is down 5.6 percent on a year-over-year basis.
  • Commercial construction spending expanded 2.7 percent in April and is up 17.5 percent on a year-over-year basis.
  • Religious spending gained 3.3 percent for the month, but is down 7.8 percent compared to the same time last year.
  • Sewage and waste disposal-related construction spending gained 0.5 percent for the month and has grown 14.9 percent on a 12-month basis.
  • Power-related construction spending grew 2.5 percent for the month, but is 11.3 percent lower than the same time one year ago.
  • Highway and street-related construction spending expanded 8.5 percent in April and is up 4.8 percent compared to the same time last year.
  • Conservation and development-related construction spending grew 3.7 percent for the month and is up 17.2 percent on a yearly basis.
  • Amusement and recreation-related construction spending improved 2.5 percent on a monthly basis and is up 23.3 percent from the same time last year.
  • Education-related construction spending gained 3.2 percent for the month and is up 0.4 percent on a year-over-year basis.

Spending declined in only one nonresidential construction subsector in April:

  • Communication-related construction spending fell 5.9 percent for the month and is down 5.5 percent for the year.

To view the previous spending report, click here.