WhatIsTheNews.press

A recent survey conducted by Katz, Sapper & Miller in partnership with the Indiana University Kelley School of Business and the Indiana Manufacturers Association reveals that Indiana manufacturers are making adjustments to their future plans as a result of inflation and subsequent high interest rates. According to Inside Indiana Business, the survey, known as the 2023 Indiana Manufacturing Survey, highlights that approximately one-quarter of the 80 manufacturing companies based in Indiana feel their current financial performance is being challenged. Mark Frohlich, director of the Center for Excellence in Manufacturing at the Kelley School, notes that the most significant finding from the survey is that 55 percent of participants believe there will be a recession. Respondents identified persistent inflation, high interest rates, and a continuing shortage of workers as key challenges for the manufacturing industry

As a result, 33 percent of companies are planning to invest fewer dollars in new equipment and facilities, 27 percent are revising their future growth plans downward, and 18 percent anticipate a loss in sales. The Indiana Manufacturing Survey, which has been conducted for over a decade, is experiencing a historic shift with companies estimating a decrease in their current-year revenues (-2%), profit margins (-3%), and capital expenditures (-5%).