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Electroindustry Business Confidence Index Down in July
Aug 17, 2011
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The economic slowdown of recent months continued to affect the electrical manufacturing sector in July, with 44% of respondents to NEMA’s latest Electroindustry Business Confidence Survey reporting that the economic environment facing the industry in North America deteriorated in recent month, up from 36% in June and 23% in May. Only 8% reported conditions were better than a month ago, down from 27% in both May and June. 48% saw business conditions unchanged in July compared to June.

The Electroindustry Business Confidence Index (EBCI) for current North American conditions therefore dropped to 32 from 45.5 a month ago, remaining below the “growth threshold” of 50 points for a second straight month.

The EBCI for future North American conditions signaled improvement in the next six months. The index climbed slightly in July to 64 from a month earlier. 40% of panelists said they expected conditions to improve by the beginning of 2012. 12% expect conditions will worsen. In June, 36% of panelists said they expected an improvement in conditions versus less than 9% anticipated a decline.

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