{"id":1517401,"date":"2022-06-15T14:19:06","date_gmt":"2022-06-15T18:19:06","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1517401"},"modified":"2022-06-15T14:23:34","modified_gmt":"2022-06-15T18:23:34","slug":"majority-of-manufacturers-predict-recession-within-the-next-year","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/majority-of-manufacturers-predict-recession-within-the-next-year\/","title":{"rendered":"Majority Of Manufacturers Predict Recession Within The Next Year"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">18<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fmajority-of-manufacturers-predict-recession-within-the-next-year%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1517401&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>The majority of <a href=\"http:\/\/dailywire.com\/topic\/supply-chain\">manufacturing<\/a> leaders predict a <a href=\"http:\/\/dailywire.com\/topic\/recession\">recession<\/a> within the next year due to <a href=\"http:\/\/dailywire.com\/topic\/recession\">inflationary<\/a> pressures, the National Association of Manufacturers revealed on Wednesday.<\/p>\n<p>The group\u2019s Manufacturers\u2019 Outlook Survey for the second quarter of 2022 indicated that executives are concerned about rising price levels. More than 59% said inflationary pressures \u201cmake a recession more likely in the next 12 months.\u201d However, 83% remain \u201clargely optimistic\u201d about the outlook for their own companies.<\/p>\n<p>Likewise, more than 90% of respondents identified higher raw material costs as one of the \u201cprimary business challenges\u201d in the second quarter.<\/p>\n<p>\u201cThrough multiple crises, manufacturers have proven remarkably resilient, but there\u2019s no mistaking there are darker clouds on the horizon,\u201d NAM President Jay Timmons said in a <a href=\"https:\/\/www.nam.org\/manufacturers-remain-resilient-as-recession-concerns-rise-17896\/?stream=series-press-releases\">press release<\/a>. Among other factors, he pointed to the Russian invasion of Ukraine and federal deficit spending as primary drivers of the high costs.<\/p>\n<p>Inflation for wholesalers <a href=\"https:\/\/www.dailywire.com\/news\/inflation-for-businesses-continues-at-double-digit-pace\">remained elevated<\/a> as the Producer Price Index (PPI) rose 10.8% from May 2021 to May 2022, according to a Tuesday report from the <a href=\"https:\/\/www.bls.gov\/news.release\/ppi.nr0.htm\">U.S. Bureau of Labor Statistics<\/a>. The higher expenses for businesses are driven largely by energy costs soaring by 5% during May and transportation expenses increasing nearly 3% \u2014 which occurred as prices at the pump continually reach new highs and surpass a national average of more than <a href=\"https:\/\/www.dailywire.com\/news\/gas-prices-hit-grim-national-average-of-5-per-gallon\">$5 per gallon<\/a>.<\/p>\n<p>Over 97% of manufacturing leaders pointed to raw material prices as a cause for higher expenses, while 84% pointed to freight and transportation costs, 80% pointed to salaries, 56% pointed to energy, and 49% pointed to a shortage of available workers.<\/p>\n<p>Supply chain issues have plagued the United States economy since the onset of COVID-19 and the lockdown-induced recession. In particular, semiconductors \u2014 a key component for electronics and automobiles \u2014 have been unavailable due to lockdowns in Asian economies.<\/p>\n<p>Some car manufacturers have been forced to limit or pause production due to the problem \u2014 worsening inflationary pressures as vehicle prices surge. According to the most recent Consumer Price Index (CPI) <a href=\"https:\/\/www.dailywire.com\/news\/here-are-the-products-gutting-your-bank-account-as-inflation-soars\">report<\/a> from the Bureau of Labor Statistics, used cars and trucks are 16% more expensive year-over-year, while new vehicles are 13% more expensive.<\/p>\n<p>\u201cWe believe the overall semiconductor shortage will now drift into 2024, from our earlier estimates in 2023, just because the shortages have now hit equipment and some of those factory ramps will be more challenged,\u201d Intel CEO Pat Gelsinger <a href=\"https:\/\/www.dailywire.com\/news\/major-tech-ceo-warns-chip-shortage-will-last-much-longer\">explained<\/a> earlier this year. He added that Intel has \u201cinvested in those equipment relationships.\u201d<\/p>\n<p>Business confidence in the manufacturing sector has declined since the spring of 2021, according to <a href=\"https:\/\/fred.stlouisfed.org\/series\/BSCICP03USM665S\">data<\/a> from the Organization for Economic Cooperation and Development (OECD). Even beyond the manufacturing sector, CNBC\u2019s most recent CFO Council Survey shows that financial executives reflected a <a href=\"https:\/\/www.dailywire.com\/news\/every-single-business-leader-surveyed-in-new-poll-thinks-a-recession-is-coming\">pessimistic attitude<\/a> about economic futures. Most respondents \u2014 68% \u2014 believe a recession will occur in the first half of 2023.<\/p>\n<p>\u201cNo CFO forecast a recession any later than the second half of next year, and no CFO thinks the economy will avoid a recession,\u201d CNBC said of the 22 survey respondents. While more than 40% of CFOs believe inflation is their company\u2019s main external risk factor, 23% point to Federal Reserve policy, and 14% to the war in Ukraine.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The majority of manufacturing leaders predict a recession within the next year due to inflationary pressures, the National Association of Manufacturers revealed on Wednesday. The group\u2019s Manufacturers\u2019 Outlook Survey for the second quarter of 2022 indicated that executives are concerned about rising price levels. More than 59% said inflationary pressures \u201cmake a recession more likely &#8230;<\/p>\n","protected":false},"author":99,"featured_media":1517479,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1517401","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1517401","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/99"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1517401"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1517401\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1517479"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1517401"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1517401"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1517401"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}