TEXAS MANUFACTURING INCREASES AFTER SPRING SLUMP
Created at : Jan 25, 2017
Factory production in Texas increased in August and September, showing an uptrend since the spring slump. According to the production index reported by the Federal government, manufacturing activity growth rose from 0.4 in July to 4.5 in August. The Federal Reserve Bank of Dallas conducted a survey in September, with manufacturers across the state reporting strengthened capacity, production, shipments, and employment.
The recent election and gas prices could turn out to affect the near future of manufacturing, although capacity use and shipments are higher than they have been for two years. Some respondents of the survey reported an increase in employment with a majority of firms hiring more workers. Wages, benefits, and number of hours worked also increased. Around two-thirds of survey respondents anticipate general business activity and their companies’ outlook to improve over the next six months.
According to the forecast summary from the comptroller for the State of Texas, the state is poised for growth in most areas. The gross state product is estimated to increase by almost $46 billion dollars from 2016 to 2017, so while some manufacturers still feel the slump, post-election reports may continue to show improvements. The Texas economy is the 10th largest in the world and despite oil prices dropping, strongly continues to expand.
Red River Precision Manufacturing, Inc. is a full service custom manufacturer of metal prototypes and products. Based in Austin, Texas, We contribute to the Texas economy by offering shearing, punching, water jet cutting, forming, sawing, drilling, welding, quality control equipment, inspection reports, certificates of compliance and AutoCad, Solid Works, and ProCAD/CAM software.