CSS Monthly Shipments: Modest December Decline Ends 2018

Stats Fact of the Week

Stats Fact of the Week: Week of February 4, 2019

NFPA’s December 2018 Confidential Shipment Statistics (CSS) report, a monthly source of fluid power shipment and order data trends often used to benchmark company performance, ended the year with a modest decline in December shipments. Fluid power manufacturers certainly can’t be too disappointed with December’s results, as declining industry growth rates and a November slump pointed to a depressing December. December’s results only nudged 2018’s fluid power shipments growth rate down 0.2% to end the year at 9.8%. Overall, the 2018 fluid power industry was on par with what many industry experts expected at the beginning of the year.

Preliminary December 2018 shipments of fluid power products increased 8.0% compared to December 2017 and decreased 4.6% when compared to November 2018. Mobile hydraulic, industrial hydraulic, and pneumatic shipments increased when compared to December 2017. Mobile hydraulic, industrial hydraulic, and pneumatic shipments decreased when compared to last month.

Final November 2018 shipments of fluid power products decreased 0.3% to an overall 10.0% for the 2018 calendar year when compared to the same time period in 2017. Both the 12-Month Moving Average (MMA) index of 106.4, an indicator of change in the size of the industry, and the 12/12 Ratio index of 110.1, an indicator of change in the rate of growth in the industry, maintain 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.

Fluid power manufacturers have now shifted their focus to 2019 and what is to come. Many industry experts anticipate a moderate decline in the fluid power industry but struggle to agree on whether the majority of this decline will take place in 2019 or 2020. The NFPA Forecast Report, supplied by ITR Economics, clearly looks to a 2019 industry decline, followed by comfortable growth in both 2020 and 2021 for the fluid power industry.

The Confidential Shipment Statistics (CSS) Program is 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.