Archive for the ‘Global Marketplace’ Category

Metal fabricating: It's nice to be needed

December 16th, 2011
By: Dan Davis

After almost a week away from my family during FABTECH, Nov. 14-17, I returned to my family tired but upbeat, because the overall mood at the tradeshow was optimistic. Busy is good for most of the attendees and exhibitors.

In describing some of the stories I had been hearing about busy job shops and the need for new capital equipment investments, I encountered a question that stumped me a bit: "Why is metal fabricating doing well when the rest of the economy is not?" my wife asked.

It's a great question because it brings up two interesting points. First, most people don't realize that manufacturing is leading the way in this less-than-robust economic rebound following the Great Recession. Some are learning that a job in manufacturing may not be such a bad career path, especially as manufacturers continue to ask for more skilled workers to fill open positions. Second, manufacturing generally isn't in this position. The old adage goes that manufacturing is typically the first industry hit by a recession and the last one to emerge from it. Well, that's not how it's working this time. (more...)

From FABTECH: Changing minds

November 16th, 2011
By: Tim Heston

“We are becoming a legitimate, export-oriented country.”

So said Chris Kuehl, economist for the Fabricators & Manufacturers Association, at yesterday's economic forecast breakfast at FABTECH 2011. Judging by the high traffic today at the show—evidence of a major resurgence in capital equipment spending—his point carries some weight. The weak dollar has helped exporting companies gain a foothold in foreign markets, he said, and once these midsized manufacturers prove themselves in those markets, they can stay in them and grow. This, he added, is one factor that has been driving America's manufacturers, many of which are growing much faster than the overall economy.

And it may be why the show floor is so busy. The crowds here belie an economy only projected to grow by 1.8 percent in 2011. Japan's earthquake shook supply chains. Storms from earlier this year have reduced oil refining capacity. Despite it all, metal fabricators are out in force and looking to buy. The shale gas boom continues. Aircraft orders are up. Things are looking good.

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Reefer madness coming ashore?

November 2nd, 2011
By: Vicki Bell

This past Labor Day weekend, my husband and I spent a quiet early morning hour on River Street in Savannah, Ga. River Street is a hopping place from mid-morning until late night, filled with people, music, and vendors selling hand-crafted items. It's the home of the second largest St. Patrick's Day parade in the world, and while all the activity, restaurants, and shopping can be fun, we welcomed the peace and quiet as we read placards along the riverside that detailed Savannah's history and watched the river.

As we watched, a barge filled with cargo containers stacked several stories high came into view. From our perspective, it eclipsed the hotel and convention center across the river. We wondered aloud how it would maneuver around the ships docked alongside River Street and clear the Eugene Talmadge Memorial Bridge that spans the river. It didn't appear to be all that easy. Others out for an early morning stroll also stopped and watched the event unfold.

Now, many in the Northwest U.S. and other areas of the globe are on the lookout for some containers that have the potential to deliver much more than goods and entertainment. (more...)

Foreign fabricators setting up shop in the U.S.

October 24th, 2011
By: Vicki Bell

The October "Stamping News Brief" featured an item about South Korean auto parts maker GNS Automotive buying the former Walway Enterprises of Holland, Mich., in December 2009 as part of its plan to better serve its main customer, General Motors, and move up the value chain from a Tier 2 to Tier 1 supplier.

Speaking to Detroit Free Press reporter Tom Walsh, GNS CEO Moon-Guy Kong, explained why he chose the U.S. and why Michigan. (more...)

Defending Chinese-made products

September 29th, 2011
By: Vicki Bell

Ricky Nelson had it right. You certainly can't please everyone, and it's foolish to try. If we editors had to please everyone every time we write something, nothing would ever be published. Someone somewhere will find fault, perhaps deeming it factually or politically incorrect or personally offensive.

I was reminded of this when last week's "Tube Talk" e-newsletter elicited responses to an item about a recent report on NBC's Nightly News about rising labor costs in China that could bring jobs back to the U.S. (more...)

Manufacturing is not farming

September 27th, 2011
By: Tim Heston

In manufacturing, fewer Americans are producing more. The output keeps growing, the employment numbers keep shrinking, and this spurs people to think about corn and soybeans. The same thing that happened to farming--which employs so few but produces so much--is happening to manufacturing.

But I’m not so sure that’s true. You’d think that if fewer people produced more, productivity would go up, right?  It turns out that in manufacturing, productivity gains and employment numbers don’t seem to be inversely related. Consider Dow Chemical CEO Andrew Liveris’ argument made in his book, Make It In America, published earlier this year.

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Manufacturing: The most powerful jobs engine of all

September 13th, 2011
By: Tim Heston

On Sunday The New York Times business section put a metal fabricator front-and-center. The reporter visited Vermeer, a Pella, Iowa, manufacturer of heavy equipment--and a manufacturer The FABRICATOR covered several years ago. The Times reporter pointed out that “as president Obama urges Congress to enact a package of tax cuts and new government spending intended to revive growth and create jobs, one crucial corner of the American economy--manufacturing--has largely fallen off Washington’s radar screen.”
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More about the future of U.S. manufacturing

August 31st, 2011
By: Vicki Bell

I devoted last week's blog post to one "Stamping News Brief" reader's comments regarding the current state and future of manufacturing in the U.S.  He expressed his concerns about governmental rules and regulations that are "strangling" his business and said things could turn around if the government became manufacturing's partner and abandoned the adversarial role. Labeling himself a "fierce competitor" who loves "winning in the manufacturing world," at this point, he just hopes he has a company and a job to go to in the future.

Fierce Competitor wasn't the only SNB reader who weighed in on this topic. Here are comments from others: (more...)

Wanted: Business leaders to run the country

August 10th, 2011
By: Vicki Bell

Several readers e-mailed their thoughts to me regarding the lead item in yesterday's "Fabricating Update" that featured another reader's comments about businesses being in business to make a profit. And then there was the anonymous caller who wanted to call attention to a mistake in the item. 

Here’s the story … (more...)

'Think globally, act locally'

June 16th, 2011
By: Vicki Bell

Last week I had the pleasure of attending Hexagon 2011 in Orlando, Fla. Held June 6-9, the conference hosted more than 2,500 attendees from 65 countries. Customers, partners, and members of the press were treated to keynotes, informational sessions in Geosystems; Intergraph Process, Power & Marine (PP&M); Intergraph Security, Government & Infrastructure (SG&I); and Metrology, and some fun activities that included an evening at Universal Studios. (I recommend the dueling pianos at Pat O’Briens® and the Harry Potter ride

I was there to cover Metrology, and while my proofreader likely does approve of my capitalizing this word, I'm doing so because this science of measurement is of critical importance in fabricating and much of our world, even in locations as relatively remote as Saskatoon, SK Canada. (more...)