PTDA Report: Recovery coming in 2021
Following a slow start early in 2021, business should improve throughout the year according to the second quarter 2020 Sales History & Outlook Report (SHOR) released by the Power Transmission Distributors Association (PTDA).
The report shows that PTDA Distributors and Manufacturer SHOR Index annual averages will decline into early 2021 with subsequent rising trends lasting through at least year-end 2022. The COVID-19 pandemic has damaged the U.S. and global industrial sectors, bringing challenging conditions in terms of both supply and demand. However, rising leading indicators and government stimulus bode well for the recovery trend. ITR Economics anticipates that the power transmission industry will be nearly completely recovered from the pandemic’s impact by the end of 2022.
The PTDA Business Index for distributors declined in the second quarter of 2020 to 31.3 while the Manufacturer Business Index declined to 25.3. The steep declining trend in the total PTDA Business Index, combined with prior declining trends in U.S. and Canadian leading indicators, suggests business cycle decline is ahead for PTDA members during the coming quarters. However, current trends in the U.S. and Canadian leading indicators suggest recovery will take hold in the industrial sector during 2021.
PTDA members participating in SHOR receive the results and forecasts through 2022 at no charge after the close of the calendar quarter. For more specifics on the forecast for power transmission/motion control sales through distribution as well as forecasts for manufacturer sales, purchase the 2Q2020 SHOR at ptda.org/SHOR.
INDUSTRIAL SUPPLY MAGAZINE
The March/April issue of Industrial Supply magazine features an in-depth cover story about Joyce Lansdale and Vallen. Plus, we're featuring articles by contributing writers Dirk Beveridge, Frank Hurtte, and David Kahle, as well as interviews with numerous product and distribution industry experts.
