Valve Manufacturers Association President Bill Sandler told attendees of his Valve Industry Outlook presentation at the Valve World Americas Expo & Conference 2015 in Houston that growth projections for the industry this year have been lowered. “We had forecast an increase of 2.5% in 2015,” he said. “We’ve lowered that somewhat to 1.5% to 2% for the year.”
Sandler presented the results of a VMA member survey that painted a downward trend in the valve industry in line with the current overall climate in the industrial PVF sector. Thirty-four percent of respondents saw a drop in orders from June 2014 to June 2015. “People are beginning to see a slowdown,” Sandler said.
Looking at the third quarter of 2015 compared to the third quarter of 2014, half of respondents expect a status quo situation, while 33% see a decline. For projected orders in the third quarter, 36% of respondents feel orders will be lower in 2015 than 2014, while 21% see an increase in orders this coming quarter.
For the full year, more than 30% feel business will be down compared to 2014, while 36% feel it will be the same as last year.
“We are coming off five straight years of growth,” Sandler said. “This year we are still saying shipments will be up, but not by a large percentage at all. Oil and gas have been hit hard and that accounts for the reduction.”
A record total 3,718 visitors and delegates attended the show, which featured a record 192 exhibitors using 38,900 net sq. ft. of exhibit space.