Oxford Economics’ Industry Forecast Reports: Growth in H2 of 2024 and into 2025 

Quarterly Industry Forecast Reports from Oxford Economics have been updated on NFPA’s member hub. Some quick insights include: 

• Oxford’s global GDP growth forecast for 2024 is 2.6% and for 2025 is 2.8%. Interest rates falling and recovery from the previous hikes are heavily influencing their outlook.  

• Oxford’s projection for manufacturing in the US has been revised down, having been pushed down by 0.5 ppts since last quarter. These changes were primarily due to higher interest rates producing weaker demand in the capital goods sector.  

• US Construction output is forecasted to experience the strongest growth globally at 6.6% in gross value-added terms in 2024. Non-residential building and civil engineering (and other activities) performance are driving up expected construction output in the US. Residential building on the other hand, is the weakest of the three sectors and is not forecasted to grow until 2025.    

• Oxford reports that the Chemicals industry is expected to reflect benefits from interest rate cuts next year. Additionally, they write that the US shale gas boom has altered the landscape of the global chemical industry. This has led to lower and more stable gas prices in the US. Regions like Europe and Asia are at a long-term competitive disadvantage compared to the US. The US chemical sector is forecasted to grow by 1.1% in 2024.  

• Oxford, in their previous forecast, predicted a swift recovery for global motor vehicle and parts production in Q2 2024. Moving forward, global motor vehicle and parts production is expected to decrease in Q3 2024 and finish up the year at 0.5 % growth for 2024.   

Oxford Economics produces quarterly forecast reports for 10+ industries. These reports highlight forecast drivers and constraints with upside and downside scenario outlooks. Industries covered include Construction, Motor Vehicles, Extraction, Electronics and Computers, and more. These reports additionally apply the industry forecasts to a handful of major market countries, such as Germany, United States, United Kingdom, China, Japan, and several others.  

To access the latest industry forecasts, click https://nfpahub.com/stats/reports-data/global-market-reports-forecasts/industry-forecasts/, and go to “Global Industry Forecasts”.  

Additionally, registration is now open for the November 14^th Fall Economic Webinar featuring Lauren Saidel-Baker. The event will take place virtually. This event will provide insights into the latest economic developments & future trends for the U.S. and its effects on the fluid power industry. Learn what to expect from several of our industry’s most popular customer markets, while also getting the answers you need to the short-term outlook for the fluid power industry. 

For any questions, please contact Cecilia Bart at cbart@nfpa.com.