Good news on the automotive front today. Manufacturers are reporting growth in automotive OEM markets in the latest quarter. Illinois Tool Works said that base revenues for its transportation segment grew 32% from the year-earlier period, largely due to increased auto builds in North America and internationally.
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Bearings manufacturer SKF also reported improvement in these markets.
Granted, these are increases from a very low level, but they are increases nonetheless.
Anecdotally, it seems consumer confidence is turning around on the car-buying front. Maybe it is because I just bought a car myself, but I have noticed many more new cars on the roads than I have in a long time. In fact, of the eight employees at my husband's workplace, five (including him) have purchased a total of seven cars in the past month. That may be on the high end for a small company, but it certainly is an example of an increased willingness on the part of consumers to make big purchases.
And as employers start considering raising wages again, this confidence may continue to grow.
Data show vehicle sales increased 24% in March with more than 1 million car sales, in part due to great financing and dealer incentives to get consumers in the doors. (Data for March are available through Autodata Corp..)
Find out what is in store for the motor vehicles and motor vehicle parts wholesale distribution sector with Adam Fein's 2010 Wholesale Distribution Economic Reports.
Industrial distributors can learn about economic trends in their sector with the Industrial Distributor segment economic report from Adam Fein.