Industry Analysis & Industry Trends
The recovery in the housing market will bode well for appliance manufacturers. Because new homeowners comprise a significant portion of appliance sales, the anticipated rise in housing starts will bring increased demand to the industry. Appliance manufacturers will continue to face rising input costs, however, particularly plastic. With financial assistance from federal tax credits expiring, many operators will cope by moving their production to lower labor-cost countries, such as China or Mexico... purchase to read more
Industry Report - Industry Analysis Chapter
Measured by any metric, the Major Household Appliance Manufacturing industry was significantly affected by the economic recession, as many of the industry's key downstream markets were weakened. Combined with intensified import competition and outsourcing, the recession caused revenue to plummet by as much as 17.9% in 2009 after years of smaller declines and lethargic growth. Industry profit margins were also reduced, declining by 91.3% as early as 2008 to an uncharacteristic low of 2.3% of revenue.
Nevertheless, this highly globalized industry that manufactures major household cooking appliances, including refrigerators and home freezers, household laundry equipment, dishwashers, garbage disposal units and water heaters, was able to rebound in recent years... purchase to read more