Industry Analysis & Industry Trends
After a period of heavy beatings, the Iron and Steel Forging industry is expected to emerge with a stronger and brighter outlook. Over the five years through 2013-14, industry revenue is estimated to decline at a compound annual rate of 2.3% to reach $857.4 million. Despite this, profit margins have been relatively healthy, which is mainly attributed to the ability of operators to pass on price rises to their clients. Despite the ups and downs in input prices during the past five years, many operators have been able to keep their margins positive.
As a producer of primarily intermediate products, the industry is at the mercy of the performance of its downstream buyers. A... purchase to read more
Industry Report - Industry Analysis Chapter
Poor economic conditions in the past five years have affected the Iron and Steel Forging industry. Several problems have inundated the industry: weak downstream demand, volatile input prices and the general decline in business confidence. As a result, revenue is forecast to fall at a compound annual rate of 2.3% over the five years through 2013-14, to reach $857.4 million. In 2013-14, revenue is expected to fall by 0.7%, which is an improvement from a more severe fall of 11.5% in 2010-11.
Downstream markets contract
Many of the industry's products are intermediate products that are used by other manufacturing activities. The industry's performance is thus highly dependent on the performance of its downstream markets... purchase to read more