Slowing economic conditions have been exacerbated by the Covid-19 pandemic, and business leaders should prepare for deeper declines in the second quarter before conditions begin to improve later in the year.
That's according to a quarterly economic forecast from the Material Handling Equipment Distributors Association (MHEDA), released this month. The members-only report points to an anticipated rise in gross domestic product (GDP) in the third quarter, followed by a “full-fledged recovery” in the second half of 2021, according to report authors from ITR Economics. Looking at material handling equipment in particular, the researchers said they expect new orders for material handling equipment to decline into early 2021. One upside to the risk is growth in e-commerce, which could lead to greater demand for warehousing space and material handling equipment, according to the report.
MHEDA's quarterly forecast is designed and written by ITR Economics, with insights into a range of markets, including U.S. industrial production, material handling equipment new orders, warehouse construction, and e-commerce retail sales.
Information about the report is available at https://www.mheda.org