Ringing in a New Year of Continued Manufacturing Growth

2019 Manufacturing Projections

As manufacturers begin looking for ways to evolve in the new year, it is necessary to reflect back upon the year gone to learn and grow from the successes we’ve had, goals we want to achieve, and existing methods we want to improve upon.

In 2018, the U.S. had a year full of new trade policies which heavily impacted the manufacturing sector in different ways. The United States remains a major force in global manufacturing and saw expansion in many key areas of the industry. We saw positive signs regarding job stability, wages, benefits, and career paths which have increased interest and improved the brand image for manufacturing, an important factor for future generations.

Not only did the manufacturing sector benefit from a healthy 2018, but so did buyers, suppliers, and industries such as transportation, cargo control, construction, pipe manufacturing, automotive, and more general industrial markets. At Universal Polymer & Rubber, one of our high points was the acquisition of Gasko Fabricated Products, a die-cutter of polymer and hybrid materials capable of high production volumes.

The Future Looks Bright

The MAPI Foundation projects a bright outlook full of steady growth for manufacturing through 2021. This is, in part, due to the projected strength of capital equipment investment. This positive outlook, however, is tempered by the recent tariffs which could have a significant impact on U.S. manufacturers. While some businesses are benefiting, the longer term effects may provide a challenge for some smaller manufacturers, including increased costs.

Recent tariffs may lead manufacturers to raise prices, impacting consumers and/or leading to cuts in production. Moving into 2019, it’s up to manufacturers to discover new, innovative ways to save and mitigate the impact of any increased costs before price points hit the customers. In the end, the industry as a will need to adjust to any rapid changes.

Growth for Rubber and Polymers

The rubber and polymer industries are projected to have sturdy continued growth this year.  As vehicle use increases, so will the world demand for tires, increasing the demand for rubber and rubber fabrication services. Likewise, the construction industry will drive the growth of polymers. Polyurethane foams, which are used heavily in construction applications, are expected to drive significant market growth for industry stakeholders.

Despite concerns about tariffs, the projections for 2019 show a continued increase in demand for rubber- and polymer-based products. As a manufacturer of a comprehensive range of polymer and rubber parts and components, UPR remains committed to helping our customers compete and grow in the upcoming year.

The Global Manufacturing Business

Universal Polymer & Rubber Ltd also known as UP&R by its customers and vendors is a part of the Cypress Companies of Akron, OH. Since its inception in 1970, UP&R has reached out to customers across the globe. It has helped its customers to grow by providing a wide range of polymer solutions. UP&R focuses on rubber extruding and rubber molding processes. These are manufactured in the manufacturing plants in Middlefield, OH and Tallmadge, OH as well as through partnerships and relationships with other manufacturers in Asia, thus showing its global presence.

UP&R sells its molded and extruded rubber products across three continents and into four major markets – transportation and cargo control, construction and pipe manufactures, automotive supply chain and general industrial market. 7-8% of businesses done by UP&R are exported with its major customers in China and Singapore.

If companies are to survive, then they must think globally. This is because the customers are located across the globe and they expect support globally. Another important aspect in doing business globally is the ability to provide consistency across the products. No matter which part of the globe UP&R’s products are manufactured, they have to be of the same quality. In order to achieve this, UP&R has greater control over the quality of the products that are manufactured. The management of UP&R has come up with a long distance supply chain for some products and this has turned out to be a model for manufacturers of UP&R’s size (with a sales range of $20-50 million).

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