Momentum cools, but composites growth endures

The Composites Fabricating Index lost ground in March but remained in expansion at 52.1. Source (All Images) | GROW Industrial Intelligence

The Gardner Business Index (GBI) is an indicator of the current state of composites fabricating, considering survey responses that cover new orders, production, backlog, employment, exports and supplier deliveries. Over 50 is expansion. Under 50 is contraction.

The Composites Fabricating Index recorded its third consecutive month of expansion in March with a reading of 52.1. Despite key components cooling in March, the Index returned to roughly the same position in which it started the year — a position indicating expansion and a growing composites market. Month-over-month changes to components saw backlogs slip just below 50, production and new orders remained in expansion and supplier deliveries lengthened. A component to watch is material prices. It does not factor into the overall Index calculations, but it increased 11.6 points in March to 84.6, its highest reading since June 2022. The Future Business Index, sensitive to these spiking prices, declined month-over-month and in its three-month average but still holds a positive outlook.

Five of six components’ three-month averages indicate expansion, while only exports failed to exceed February results.

Reading the scorecard

The GBI Components Scorecard reports the monthly change rate of primary composites market factors contributing to the overall monthly index reading.

Color indicates where a component value falls relative to 50 for the current month. Green indicates expansion; red indicates contraction.

Shade indicates a value’s distance from 50; the darker the shade, the further from 50.

Direction indicates a value’s change versus the previous time period. Pointing up is always better.

The three-month average for the Future Business Index declined in March but remains positive at 67.

The GBI Future Business Index is an indicator of the future state of the composites fabrication market industry respondents regarding their opinion of future business conditions for the next 12 months. Over 50 is expansion and under 50 is contraction.

Find the latest composites fabrication market research and reporting at GardnerIntelligence.com