It is no secret that businesses (large and small) are suffering from the effects of COVID-19. The virus challenges our communities and economy. We shared in a previous blog how the increase in medical supplies and needs of other related supply chains also increased the need for pallets. We have been working diligently through the pandemic to bring those customers their packaging equipment.
Unfortunately those essential supply chains were the minority. Most manufacturing companies have suffered losses, and many small business were forced to close. Thankfully, that seems to have slowed. The Institute for Supply Management (ISM) reported earlier this month the pricing manager index for manufacturing rose to 52.6 percent (to compare, May’s PMI was 43.1 percent)
“June signifies manufacturing entering an expected expansion cycle after the disruption caused by the pandemic,” Timothy Fiore, CEO of the ISM, said.
Manufacturing isn’t the only industry getting some relief. Retail sales continue to grow as congressional relief packages reach customers. While the National Retail Federation (NRF) and the Census Bureau have competing figures, this is due to the NRF excluding industries such gas stations, restaurants and car dealerships that took focus from core retail sales. Both agree that June showed promise of an expansion cycle.
There are concerns of the virus spreading and starting another recession, but there are also hopes for the future. The NRF found that consumers are planning to spend $101.6 billion in back to school sales, which is a significant increase than the $80.7 billion spent last year. This is due to the need of electronics and other supplies necessary for online schooling, a reality for many children in America.
We will continue to keep you informed on both Millwood’s response to the pandemic as well as the industry news you need to make educated purchasing decisions. If you have questions, concerns or just a comment let us know below!