Featured Image

Opportunities for Growth in Manufacturing Technology in the Coming Year

Sep 24, 2021

At AMT’s 2021 MFG Meeting and MTForecast conference, Nov. 2-5, in Denver, Colorado, Mark Killion, CFA, director of U.S. industry for Oxford Economics, will discuss his forecast for manufacturing and the machine tool sector as well as where the biggest growth opportunities lie in the next one to two years. 

A speaker at MTForecast for many years, Killion focuses on global industries and capital markets, translating complex data and information into actionable business strategies for growth, capital allocation, and risk management.  

We asked Killion several questions to preview his presentation in November. 

Q: What are the main opportunities and challenges for manufacturers in the next few years as the recovery continues?

Killion: This is a time of a great opportunity, but it is accompanied by heightened challenges and risks as well. When growth accelerates rapidly, as it is doing now, this can cause its own set of disruptions. I think that's the situation we're seeing now. We've had a pretty strong recovery in demand, but supplies have been lagging. These risks are very tangible – getting parts and people to the right place at the right time. We’ve seen this in transportation, port facilities, automotive, and other sectors.I do, however, think the opportunity outweighs the risks, because there is strong underlying demand in the economy, and many manufacturers currently have strong profit margins. I’ll discuss this in more detail as well as what to expect if this starts to level off. 

Q: How will the infrastructure bill impact manufacturing? 

Killion: The infrastructure bill will significantly impact the overall economy. Although the legislation isn’t final yet, it’s looking very good with strong bipartisan support. The biggest impacts will be in construction and manufacturing – in both durables and non-durables. Durables include construction equipment and materials, and non-durables include areas such as refineries, which produce the materials for roads and roofing, and the chemical industry, which is strongly influenced by construction activity as well. Infrastructure investments will go beyond roads and bridges and include the power grid, renewable energy, and expansion of broadband communication infrastructure. All of these will require a host of manufacturing components. 

I expect infrastructure investment to keep both GDP and manufacturing growth above about 4% next year. And the timing couldn’t be better – just as the current recovery starts to slow, infrastructure spending will start to come online next year and the following year, providing a medium-term source of growth. 

Q: What are a few steps manufacturers can take to take advantage of these opportunities?

Killion: There are many things that manufacturers can do to be positioned for this growth, and I will discuss these in more detail in November. Growth will be tied to investment in efficiency, software, and R&D. In my presentation, I will look at the markets that are being driven by investment and the rise in manufacturing productivity that we can expect to see.

To better prepare your business for what’s ahead, register to attend AMT’s 2021 MFG Meeting and MTForecast conference, Nov. 2-5, 2021, in Denver, Colorado. At this unique event, tailored to the manufacturing technology industry, you’ll hear more insight on the economy and gain a deeper understanding of market and technology trends to help you build a robust business strategy.

PicturePicture
Author
Pat McGibbon
Chief Knowledge Officer
Recent intelligence News
The Federal Reserve held the federal funds rate steady at a target range of 4.25%-4.5% for the fourth meeting in a row, citing the need to keep policy rates modestly restrictive to address a meaningful amount of inflation projected over the coming months.
In the midst of the recession caused by the 2008 financial crisis, orders for metalworking machinery totaled around $95 million in Jan. 2009, the lowest level recorded. Although orders grew scarcer, businesses continued to invest in manufacturing tech.
Today, the Federal Reserve held the federal funds rate steady at a target range of 4.25% to 4.5% for the third meeting in a row, citing increasing uncertainty in the economic outlook and a rising risk of higher unemployment and inflation.
Today, the U.S. Bureau of Economic Analysis released their first estimate of GDP for the first quarter of 2025. According to the estimate, GDP contracted 0.3% at an annualized rate.
For the second meeting in a row, the Federal Reserve announced it will hold federal fund rates steady at a target range of 4.25% to 4.5%. Learn what this means for the producers and distributors of manufacturing technology.
Similar News
undefined
International
By Fred Qian | Jul 01, 2025

China’s manufacturing PMI signals headwinds, but long-term growth is projected. The country shows resilience, with new investments flowing in and manufacturing technology consumption staying strong. For more industry intel and other tidbits, read on.

4 min
undefined
Technology
By Stephen LaMarca | Jun 27, 2025

Less carbon, more boom. Smells like coffee; prints like plastic. Steelin' time. solid-state batteries that may actually ship. Carbohydrate fiber.

6 min
undefined
International
By Mike Lauer | Jun 24, 2025

Vietnam's economy is flourishing. With positive trends in FDI inflows and impressive GDP growth forecasts, the market is poised for business expansion. For more industry intel and other tidbits, read on.

5 min