ABI survey shows members plan to invest in Q1 despite ongoing challenges
BPC Staff Dec 15, 2022 | 9:27 pm
1 min read time219 wordsAll Latest News, Economic Development, Retail & Business
Iowa manufacturers plan to make more capital investments early next year, according to a survey by the Iowa Association of Business and Industry.
According to ABI’s Quarterly Business Survey, 67% of those responding said they plan to make capital expenditures in the first quarter of 2023. That’s up slightly from the fourth quarter of 2022, a news release stated.
Of those responding, 47% expect sales to stay about the same in the first quarter, while 23% said they expect sales to expand.
More than two-thirds (67%) expect to keep their employment levels about the same, while 8% indicated they expect employee levels to decrease.
ABI’s membership totals 1,500 companies, about half of which are manufacturers.
Mike Ralston, ABI president, said some long-standing challenges will continue into the new year.
“Employers are continuing to face supply chain challenges and workforce shortages, while, in some cases, backlogs remain substantial,” Ralston said in the release. “And we note that many have the possibility of a recession in the back of their minds.”
Despite those challenges, companies are making plans to invest in automation, he said.
“In true Iowa fashion, our state’s manufacturers are rising to the challenges facing them,” Ralston said in the release. “ABI looks forward to assisting members as they make these investments and bring new solutions to their facilities.”