The Thomas survey Coronovirus’ Impact on North American Manufacturers, shows how the pandemic is impacting US manufacturing. The survey is a second phase to the company’s February 2020 survey that examined more than 1,000 North American manufacturing and industrial suppliers to determine the global pandemic’s current impact and solutions that companies are using to meet demand. The survey was conducted online using Qualtrics, polling more than 1,073 North American suppliers with revenues from less than $4.9 million to more than $500 million.
One of the survey’s findings was that more than half of the surveyed manufacturers indicated that they’re “likely to extremely likely” to bring production and sourcing operations back to North America. About 47 percent of US manufacturers surveyed are currently seeking domestic supply sources. Those surveyed said that challenges faced included shipping and logistics disruptions along with offshore factory suspension or production restrictions. Companies are lacking fabricated materials, metals, electrical or electronic components, raw materials, and machining tools and parts needed to help stabilize supply and allow production to remain on schedule.
The survey results also indicated that low oil prices were expected to have a positive impact as transport and raw materials costs, like plastics, would be less expensive. In terms of the financial impact facing manufacturers, 55 percent of manufacturers indicated that they expected revenue to decline as a result of the pandemic and 31 percent expected revenue to stay the same. The March survey is more pessimistic when compared to the February survey that revealed that only 34 percent of companies had an expectation of revenue decline and 53 percent expected things to remain the same. Thomas, New York, NY, provides information, data, analysis, and tools that align with and support today’s industrial buying process. To learn more, click here.