menu-bgimg

What we can offer you

We provide detailed transactional data, cost benchmarks and in-depth analytics for participants in the wood raw materials supply chain.
  • Pricing Data
  • Benchmarks
  • Product Forecasting
  • Advisory Services
  • Analytics
Learn More

SilvaStat360 Platform

  • Price Benchmarks
  • Madison’s Lumber Reporter
  • The Beck Group’s Sawmill TQ
  • Timber Supply Analysis 
  • Global Economic Data

Explore Forest2Market's Interactive Business Intelligence Platform

Learn More

Industries

From biomass suppliers in the Baltics to pulp producers in Brazil and TIMOs in the United States, Forest2Market provides products and services for suppliers, producers and other stakeholders in the global forest products industry.

Learn More
x
 
Blog

Forest Industry Performance: December 2015

January 18, 2016
Author: Joe Clark

Forest industry performance in November and December was reported by both the US government and the Institute for Supply Management.

Total industrial production (IP) tumbled 0.6% in November (-1.2% YoY). It was the ninth month in 2015 with MoM IP declines, as well as the biggest MoM drop since March 2012. Historically, YoY declines in IP have often been associated with recessions.

Manufacturing output was unchanged in November, as gains in nondurable goods offset decreases in durable goods and other manufacturing. Wood Products output was unchanged (+1.4% YoY) while Paper rose by 0.2% (-1.5% YoY).

Capacity utilization (CU) for all industries retreated 0.7% (-2.6% YoY) to 77.0%. Manufacturing CU edged down to 76.2%, a rate 2.3 percentage points below its long-run average.

  • Wood Products dipped 0.2% (-1.0% YoY) to 70.8%
  • Paper advanced 0.2% (-1.1% YoY) to 82.6%

Capacity at the all-industries and manufacturing levels moved higher:

  • All-industries: +0.1% (+1.5% YoY) to 138.4% of 2012 output
  • Manufacturing: +0.1% (+1.3% YoY) to 139.1%
  • Wood Products: +0.2% (+2.5% YoY) to 160.4%
  • Paper was unchanged (-0.3% YoY) at 116.9%

Manufacturing and Non-manufacturing Surveys

The Institute for Supply Management’s (ISM) monthly opinion survey showed that the U.S. manufacturing sector contracted further in December (Figure 2). The PMI decreased 0.4 percentage point, to 48.2%—the lowest reading since June 2009. (50% is the breakpoint between contraction and expansion.) Notable changes to internals included another contraction in the employment index, a small expansion in exports, and further erosion in imports. Wood Products contracted on declines in new and backlogged orders, while Paper Products expanded on higher new orders, production and employment (Table 3). 

ISM_Jan_2016.png

The pace of growth in the non-manufacturing sector marginally slowed in December. The NMI edged 0.6 percentage point lower, to 55.3%. Important internals (e.g., new orders, employment and exports) strengthened, however. Real Estate and Construction reported increased activity, whereas Ag & Forestry was unchanged.

  Performance_Jan_2016.png

 Forest2Market's Economic Outlook

 

 

Click to edit your new post...

Back to Blog

You May Also be Interested In

May 26, 2020
US Manufacturing, Forest Industry Slam on Brakes in April
US forest industry performance in March and April was recently reported by both the US government and the Institute...
Continue Reading
April 21, 2020
Forest2Market’s Economic Outlook: Metrics That Matter to the Forest Industry
Every month, Forest2Market publishes updated forecasting products designed specifically for participants in the...
Continue Reading
April 13, 2020
Strategic Planning During Downturns with Precise Market Data
It’s difficult to overstate the uniqueness of the current global health (and economic) crisis we find ourselves in....
Continue Reading