CSS Monthly Shipments: Another Step Down in April Shipments

Stats Fact of the Week

Stats Fact of the Week: Week of June 17, 2019

NFPA’s April 2019 Confidential Shipment Statistics (CSS) report, a monthly source of fluid power shipment and order data trends often used to benchmark company performance, again highlighted the slowdown taking place in the U.S. fluid power marketplace. While year-to-year shipment percentages barely remained positive in most segments, declining month-to-month and year-to-date percentages continue to concern many manufacturers. But how far will the industry decline and at what pace will the rate of decline continue? Keeping a close eye on leading indicators, especially because the downturn is not unique to our industry, can help your company navigate upcoming conditions.

Preliminary April 2019 shipments of fluid power products increased 0.2% compared to April 2018 but decreased 4.4% when compared to March 2019. Mobile hydraulic and pneumatic shipments increased, while industrial hydraulic shipments decreased when compared to last year. Mobile hydraulic and industrial hydraulic shipments decreased, while pneumatic shipments increased when compared to last month.

Final March 2019 shipments of fluid power products increased 1.5% for the 2019 calendar year when compared to the same time period in 2018. Both the 12-Month Moving Average (MMA) index of 100.4, an indicator of change in the size of the industry, and the 12/12 Ratio index of 107.4, an indicator of change in the rate of growth in the industry, maintained levels above 100. The direction and speed in which these two index indicators move, as well as their position above or below 100, can help you understand the short-term outlook for our industry.

Foreign trade policies/tariffs, increased product pricing, and weakening industry order trends are driving declining industry conditions. Continue to keep a close eye on these trends over the months to come. Currently, the slow pace of this decline has given most manufacturers the opportunity to plan accordingly.

The Confidential Shipment Statistics (CSS) Program
The only monthly source of aggregated industry data for the U.S. fluid power industry. This report presents data on monthly shipments and orders collected from our membership and helps users understand trends and anticipate change within the industry. Member companies can benchmark their own company’s performance against overall industry performance using the CSS results. Data is collected from participating U.S. fluid power manufacturers, compiled by a 3rd party to maintain confidentiality, and results are then only sent to CSS participants.

Questions and inquiries about participating in the Confidential Shipment Statistics (CSS) program can be directed to Eric Armstrong at earmstrong@nfpa.com or (414) 778-3372.