Market Commentaries

Sector confidence levels dive

Our third quarter Trends Surveys showed a sharp dip in business confidence. Optimism amongst both Original Equipment Manufacturers (OEMs) and component suppliers was down compared with the previous quarter. Less optimistic Component manufacturer exporters outweighed more optimistic respondents by nearly 3 to 1 - a record ratio. OEM exporters recorded their third straight quarter of declining business confidence - whilst for the first time in 1998 we charted net pessimism about home market prospects. Our figures reflect patterns reported from other sectors, including the CBI's industrial trends survey. Copies of the full (20 page plus) quarterly reports are available to contributing members only. The latest surveys were supported by another record level of participants - further increasing the value and representativeness of the data. This is a free service for members.

For input forms, contact David Monk at the FMCEC office.

America on-line

Our Director General, David Barrell, has built up a close working relationship with our counterpart organisation in the USA - the Construction Industry Manufacturers' Association (CIMA). As a guest. at their Annual General Meeting and Convention in Charleston, South Carolina, he was briefed on key trends in the American market. CIMA members paid $595 to participate in the convention, which drew record
numbers.

CIMA is clearly in good shape as an organisation - not least because of the increasing popularity of their Conexpo show. Expert speakers presented on:

• The current state of the US economy which continues to keep manufacturers fully occupied and shows no sign of diminishing
• The impact of emerging information technologies and their effect upon our industry
• The revolution in distribution and selling methods in the USA, including the continuing growth of the rental side of the industry.

Keeping in touch with American trends is a good way of predicting future developments in the UK and Europe.