At a glance Labor challenges, along with the fact that capital is still readily accessible, have strengthened the case for companies to make investments in robotics and automation. The International Federation of Robotics projects the recent economic boom following the pandemic’s initial sharp ... READ MORE >
What Biden’s $1.2T infrastructure package means for manufacturing and energy
On Nov. 15, President Biden signed a $1.2 trillion infrastructure package—The Infrastructure Investment and Jobs Act—that provides historic funding levels to improve public works, including roads, bridges, highways, internet access and the power grid, as well as to mitigate the effects of climate change. ... READ MORE >
The LIBOR transition could affect manufacturing companies
Much has been written about what the elimination of the London Interbank Operating Rate (LIBOR)—the global interest rate benchmark—will mean for the financial sector and the resulting need to reset interest rates on trillions of dollars of financial products. The transition away from LIBOR will also ... READ MORE >
Global manufacturing activity and delta-induced supply chain disruptions
Rising costs and supply chain constraints continue to disrupt U.S. manufacturing activity and may worsen as the world’s factory floors brace for more shutdowns linked to the spread of the coronavirus delta variant. Even U.S. companies that do not have operations in other countries can expect to feel the ... READ MORE >
CHART OF THE DAY: Industrial trade deficit rises amid growing domestic demand
The U.S. goods trade deficit for industrial products increased in May as the value of industrial supplies, capital goods and autos imported continued to outpace exports of such goods. This is in line with the overall U.S. goods trade deficit, which increased to $88.1 billion from $85.7 billion in ... READ MORE >
CHART OF THE DAY: Manufacturers wrestle with disruptions, shortages and rising prices
Manufacturing growth eased from its breakneck pace in April as supply chain bottlenecks and material shortages increase backlogs and limit production efforts. The Institute for Supply Management’s manufacturing index eased to 60.7 in April from a 38-year high of 64.7 in March. Readings above 50 indicate ... READ MORE >
The impact of Brexit on U.S. manufacturing companies
While Britain voted to leave the EU in 2016 and companies had about four years to prepare for the change, there was not much clarity on what Brexit would mean for companies until Dec. 24, 2020, when the post-Brexit trade deal—the UK-EU Trade and Cooperation Agreement—was finalized. Plenty of questions ... READ MORE >
CHART OF THE DAY: Manufacturing remains strong despite labor, supply chain challenges
U.S. manufacturing activity remained robust in January but faced challenges on the labor and supply chain front, according to new data released Monday by the Institute for Supply Management. These challenges are limiting production and driving up prices. The ISM’s Manufacturing Purchasing Managers’ ... READ MORE >
Economic recovery drives up raw material prices
Manufacturing activity during the pandemic tanked in April and May last year and has been inching toward recovery ever since. As manufacturing activity rebounds, companies are experiencing volatility not just in demand but also in raw material prices, which have been rising. Recovery in the automotive, ... READ MORE >
China’s economic power: You may not like it, but you cannot ignore it
The pandemic, infrastructure and climate change policies will likely take precedence over trade in the Biden administration’s near-term agenda, but the new president’s trade positions will also be a key area of focus as the United States works toward economic recovery. China’s importance in global trade ... READ MORE >