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

ISM said the overall U.S. manufacturing sector's economic activity expanded in April for the 21st consecutive month, and the overall economy grew for the 23rd consecutive month.

The Manufacturing ISM Report On Business for the month of April shows that:

NEW ORDERS. The Electrical Equipment, Appliances & Components sector was one of the 15 industry sectors (out of 18 total tracked by ISM) reporting April growth in new orders.

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

EMPLOYMENT. Appliance was among 15 industry sectors that reported April growth in employment.

SUPPLIER DELIVERIES. Appliance was among the 10 sectors that reported slower supplier.

INVENTORIES. Appliance was among nine sectors reporting higher inventories in April.

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

PRICES. Appliance was one of the 17 segments reporting paying increased prices in April.

BACKLOG OF ORDERS. Appliance was among 12 sectors reporting increased in order backlogs in April.

NEW EXPORT ORDERS. Appliance was among the 13 sectors reporting a growth in export orders in April.

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

"The recent trend of rapid growth in the manufacturing sector continued in April as the PMI registered above 60% for the fourth consecutive month," said Norbert J. Ore, CPSM, C.P.M., chair of the Institute for Supply Management Manufacturing Business Survey Committee. "The New Orders and Production Indexes continue to drive the PMI, as they have both exceeded 60% for five consecutive months. Manufacturing employment appears to have developed significant momentum, as the Employment Index readings for the first four months of 2011 are the highest readings in the last 38 years. Inventory growth also took place in April after two months of destocking; however, the inventory restocking would appear to be necessitated by the strong performance in new orders. While the manufacturing sector is definitely performing above most expectations so far in 2011, manufacturers are experiencing significant cost pressures from commodities and other inputs."

Of the 18 manufacturing industries covered in the ISM, 17 reported overall growth in April:
• Wood Products
• Plastics & Rubber Products
• Primary Metals
• Transportation Equipment
• Fabricated Metal Products
• Computer & Electronic Products
• Apparel, Leather & Allied Products
• Machinery
• Textile Mills
• Paper Products
• Electrical Equipment, Appliances & Components
• Nonmetallic Mineral Products
• Miscellaneous Manufacturing
• Food, Beverage & Tobacco Products
• Chemical Products
• Printing & Related Support Activities
• Petroleum & Coal Products

Furniture & Related Products was the only industry reporting contraction in April.

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