The majority of Iowa manufacturers plan to make strategic investments in their organizations in the second quarter of 2023, according to the latest Iowa Association of Business and Industry (ABI) Quarterly Business Survey.
The ABI second quarter survey was sent to ABI’s board in early March.
The survey results show:
- 81% of respondents plan to make capital expenditures in the second quarter of 2023 – a significant increase from the outlook in the 2023 first quarter survey.
- 51% expect sales to expand, an increase from 23% in the first quarter.
- 67% of respondents foresee their workforce to remain stable, with the number of employees expected to stay the same.
“Making capital expenditures is an important part of running a successful business – something Iowa manufactures know well,” ABI president Mike Ralston said. “These expenditures allow companies to invest in their future growth, maintain their existing assets, and gain a competitive edge.”
Navigating the supply chain was identified as a top issue for a majority of respondents.
“Whether it’s evaluating import partners to boost near-shoring or increasing domestic production through the capital expenditures, Iowa manufacturers will continue to face these challenges with the resiliency they have always shown,” Mr. Ralston said.
Optimism for the remainder of 2023 remains high, according to the survey.
For previous survey results, resources for manufacturers and a list of upcoming educational and networking events, go to iowaabi.org.
Approximately half of ABI’s 1,500 member companies are manufacturers. ABI represents nearly every industry in the state of Iowa.