AHR Expo: HVACR Manufacturers Predict An Improving Economy
According to a recent AHR Expo survey sent to more than 1,000 HVACR manufacturers worldwide, 70% of the respondents expect the economy to be better in 2013 than in 2012.
In fact, 15% of these manufacturers expect a “much better year” while
28% percent of respondents expect the economy to remain the same. Just 3% expect it to be worse than 2012.
In keeping with this optimistic outlook, 86% of the HVACR manufacturers believe sales will increase next year with 35% percent of these respondents expecting sales increases of more than 10%. Thirty-two percent forecast sales increases between 5% and 10%, and 19% expect increases of less than 5%. Eleven percent believe sales will remain the same, while only 3% expect sales to decrease.
Most respondents (41%) said the residential sector would account for the strongest demand for new products, followed by Institutional (30%), Industrial (19%), light commercial (7%) and heavy commercial (3%). The industry categories expected to show the strongest growth were renovation/upgrade (42%), new construction (34%) and replacement (24%).
More than two thirds of the respondents (67%) predicted that the greatest demand for new products would come from domestic markets and 33% from international markets. Of these respondents, 52% said the greatest demand for new products would come from the healthcare segment, 45% from industrial plants, 43% educational marketplace and 42% government/civil.
To meet this demand, 75% of AHR Expo exhibitors said they will be introducing new products or services at the 2013 Show in Dallas, January 28-30.
“It is good to see that manufacturers continue to be optimistic about the HVACR sector of the economy,” said Clay Stevens, President of International Exposition Company, which produces and manages the AHR Expo. “These survey results seem to suggest a strong Show in Dallas.” Stevens pointed out that while the percentage of manufacturers who expect the upcoming year to be better has continued to climb every survey, the percentage expecting the economy to be worse has also been steadily declining. Another encouraging sign of an economic uptick is that compared to last year’s survey, 3% more respondents plan to introduce new products at the 2013 Show.
"We are introducing some innovative new products in 2013 so we expect 2013 to be a very good year for Xylem. AHR Expo is always a great way to launch the New Year and create interest in our new offerings," said Mark Handzel, Director of Building Services Marketing, Xylem Inc., Applied Water Systems – Americas.
Source: International Exposition Co.