PMMI predicts 7% growth in packaging machinery sales in the U.S. this year to an estimated $5.91 billion. The results stem from the association’s U.S. Purchasing Plans Study.
Another positive catalyst, says PMMI, is a “distinct improvement in rates of capacity utilization throughout much of the market.” The pharmaceutical and medical segment is predicted to deliver the largest spending increase of 11 to 13%, followed by beverages (9 to 11%), personal care products (7 to 9%), food (6 to 8%), and converters, printers and others (3 to 5%). According to the study, 67% of respondents plan to either increase spending on equipment or keep expenditures at their 2004 level.
The study projects macroeconomic assumptions that U.S. gross domestic product growth will range from 3.2 to 3.9%; that U.S. manufacturer capacity will improve; that interest rates will rise steadily this year, and that corporate profits will continue to rise, although at a slower pace than last year.
The complete 2005 Purchasing Plans study is available for $1ę·” by contacting Paula Feldman, director of statistics, at 888/275-7664, or by e-mail: [email protected].
