Rubber industry survey shows economic strength and optimism

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Rubber industry survey shows economic strength and optimism

Tuesday, March 27, 2012
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Indianpolis, IN - A recent survey of rubber products manufacturing executives conducted by the Association for Rubber Products Manufacturers (ARPM) shows economic strength and optimism within the industry for 2012. Economic indicators from the survey including sales trends and general profitability exhibit continued strength as the results displayed fourth quarter sales increases over the third quarter in 2011. Data from the report demonstrates momentum into 2012 as 43% of the respondents revealed fourth quarter sales increases while 26% remained the same. Optimism is apparent in 2012 as 72% of those responding expect their sales trends to increase throughout the year while only 3 percent are anticipating a decrease. Adding to this confidence is that over 36% of the respondents indicated their profits were up in the fourth quarter with 46% remaining level. “The indicators that have come out of this survey illustrate that economic conditions within the rubber products industry are headed in a positive direction,” said Troy Nix, Executive Director of the ARPM. “We feel that this data will help provide a positive path for our members and the industry as a whole.” Another positive trend that surfaced in the report is that ARPM customers are not as aggressive to look for overseas supply sources as they once were and are examining new domestic alternatives. The number of rubber product manufacturers that lost business in the fourth quarter of 2011 to foreign suppliers was zero while those that actually gained business from overseas was close to 20%. More than 40 industry executives across the United States responded electronically to approximately 31 economic indicator questions covering their fourth quarter performance along with forecasts for 2012.