Ceramic Industry News

North American Powder Metallurgy Industry Rebounds

The North American powder metallurgy (PM) industry regained its growth momentum in 2010 after five dismal years of declining demand, according to Michael E. Lutheran, president of the Metal Powder Industries Federation (MPIF). While the rebound can be largely pinned on the increase in light-vehicle sales, other end markets also gained, he said. PM’s design engineering advantages, contributions to sustainability, and proven economies are stronger than ever.

The industry’s real turnaround began during the last quarter of 2009, when customer inventories were at their lowest point and the pipeline needed refilling. This situation signaled a firming of demand for metal powders and PM parts. A clear indicator of rising production levels was the hiring spurt seen at many PM parts fabricator plants.

Based on the first quarter of 2011, PM industry executives remain optimistic about the business outlook, Lutheran said. Iron powder shipments increased 9.1% in the first quarter, with the PM parts/friction materials sector up 10.1%. Stainless steel powder shipments remain robust, and copper powder shipments are positive as well.

According to discussions with leading PM parts makers, business in the first half of 2011 looks very favorable. First quarter sales reports show increases of 10-35%, with strong back orders. While many companies have rehired previously furloughed production workers, they are still running with leaner workforces than before.

For additional details, call (609) 452-7700 or visit www.mpif.org.

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