There are substantial differences in growth for the different regions. Asia will be up 2.8 percent to $13.2 billion in 2009. Europe will be down 1.7 percent to $8.9 billion. Stimulus initiatives directed to infrastructure are going to have a positive effect but not in 2009. Increased investment in municipal wastewater treatment facilities in the U.S., China, and other countries will be reflected in higher revenues starting in 2010.
The pump industry will fare better than most in the tough economic environment of 2009. Replacement parts and service are significant revenue producers. This tends to lessen the peaks and valleys of the new plant market. Some of the major markets such as municipal wastewater and drinking water are not sensitive to near-term economic conditions.
These forecasts are subject to continuing adjustment. General markets are more volatile and less predictable than at any time since McIlvaine started forecasting in 1974. Until 2000, McIlvaine market reports were printed. Revenue forecasts were adjusted yearly. Now that these reports are online, they are adjusted as needed. In these volatile times quarterly revisions are both needed and supplied.