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Appliance Manufacturing Sector Grows in March
Apr 4, 2011
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The U.S. Electrical Equipment, Appliances & Components industry segment reported growth in March 2011, according to the latest Manufacturing ISM Report On Business.

ISM said economic activity in the manufacturing sector overall expanded for the 20th consecutive month and the overall economy grew for the 22nd consecutive month in March 2011. The ISM PMI Index stood at 61.2 in March, down 0.2% from February.

NEW ORDERS. The Electrical Equipment, Appliances & Components sector was one of the 14 industry sectors (out of 18 total tracked by ISM) reporting March growth in new orders.

PRODUCTION. The Appliance sector was among the 14 that reported March growth in production.

EMPLOYMENT. Appliance was among 12 industry sectors that reported March growth in employment.

SUPPLIER DELIVERIES. Appliance was among the 11 sectors that reported slower supplier deliveries in March.

INVENTORIES. Appliance was among seven sectors reporting higher inventories in March.

CUSTOMERS' INVENTORIES. Appliance was among the 11 industries reporting customers' inventories as being too low in March.

PRICES. Appliance - and all the other segments of the 18 total manufacturing segments that ISM tracks - reporting paying increased prices during the month of March.

BACKLOG OF ORDERS. Appliance was among five sectors reporting decreases in order backlogs in March.

NEW EXPORT ORDERS. Appliance was among the three sectors reporting a decrease in export orders in March.

IMPORTS. Appliance was among the eight sectors reporting growth in imports in March.

Of the 18 manufacturing industries tracked by ISM, 15 reported growth in March, in the following order:
• Apparel, Leather & Allied Products
• Transportation Equipment
• Fabricated Metal Products
• Machinery
• Textile Mills
• Computer & Electronic Products
• Furniture & Related Products
• Electrical Equipment, Appliances & Components
• Food, Beverage & Tobacco Products
• Paper Products
• Petroleum & Coal Products
• Chemical Products
• Plastics & Rubber Products
• Miscellaneous Manufacturing
• Printing & Related Support Activities.

The two industries reporting contraction were Wood Products and Primary Metals.

Norbert J. Ore, CPSM, C.P.M., chair of the Institute for Supply Management Manufacturing Business Survey Committee, said the indexes of the PMI remain very positive level, but manufacturers are concerned about commodity prices. "Many manufacturers indicate the prices they have to pay for inputs are rising, and there is concern about the impact of higher prices on their margins," Ore said.

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