According to a Survey Done by Eli Lustgarten, the Demand for Automation Equipment Is In Decline
Demand for automation equipment is in decline, according to a survey of industrial automation distributors and integrators by Eli Lustgarten, analyst at Longbow Research (www.longbowresearch.com). Among those surveyed, 48% now say the market is weaker than it was at this time last year, compared with 34% in December and 24% in October.
“Price increases have reportedly stopped almost entirely,” says Lustgarten, as a result of the trends. “Not only is this the first survey where we have seen price declines, but the number of respondents reporting price declines (11%) was higher than those reporting price increases (5%); the vast majority of respondents (84%) now categorize prices as flat, compared with 0% in our December and October surveys.”
Demand reports were predominantly flat or negative. Flat demand remains a relatively stable percentage of all reports, at 43%.
Demand growth was reported by 10% in March, vs. 20% in December and 33% in October.
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