Confidence Declines In NEMA's Latest Electroindustry Business Confidence Index, But Market Conditions Remain Strong
ROSSLYN, Va., May 31, 2006. NEMA's Electroindustry Business Confidence Index for current North American conditions stood at 55.8 in May. While representing a decline from readings in the high 60s posted in each of the three previous months, May's result was strong nonetheless and reinforced a spate of recent data indicating that market conditions faced by electrical equipment manufacturers remain robust. Indeed, the index has now topped the 50-point growth threshold for 37 consecutive months.
By contrast, the index for future North American conditions fell sharply to 26.9, reflecting the now widespread view that business conditions at year-end will be weaker to at least some degree than currently.
For a complete summary of the May 2006 index, including charts and a list of participating companies, visit http://www.nema.org/econ/ebci/upload/05_2006_EBCI.pdf.
The Electroindustry Business Confidence Index gauges the business confidence of the electroindustry in Asia, Europe, North America, and Latin America, and is based on the results of a monthly survey of senior managers at NEMA member companies. Those companies represent more than 80 percent of the electroindustry.
NEMA is the trade association of choice for the electrical manufacturing industry. Founded in 1926 and headquartered near Washington, D.C., its 430 member companies manufacture products used in the generation, transmission and distribution, control, and use of electricity. These products are used in utility, medical, industrial, commercial, institutional, and residential applications. Domestic production of electrical products sold worldwide exceeds $120 billion. In addition to its headquarters in Rosslyn, Virginia, NEMA also has offices in Beijing, Sao Paulo, and Mexico City.
Jason Peak
Senior Editor
(703) 841-3222
jas_peak@nema.org
