Adhesives Magazine

Wednesday, May 6, 2008, morning

May 6, 2008
McDevitt


The PSTC Tech 31 kicked off this morning with the General Session. Economist John McDevitt delivered an upbeat message in his World Economic Outlook 2008-09. In a shaky time, while the press is reporting a dark outlook economically, McDevitt painted a rosier picture.

 

“Until something gets sold, nothing happens,” he said, indicating that the gross domestic product is the indicator for the future. The European 2007 GDP is 2.6%, with a GDP forecast for 2008 of 1.7%. In the Asia-Pacific region, the 2007 GDP is 5.4%, with a GDP forecast for 2008 of 4.6%. In the Americas, the 2007 GDP is 3.3% and is forecast to be around 1.3%.

 

Because GDP growth will not exceed 3%, McDevitt says that companies must work harder ad step up their creativity as we move into the future. Industries served by the pressure-sensitive tape companies are not in a recession – in fact, value of HVAC products is estimated to be up 24.3% compared to 2007, and aerospace up 22.4% from 2007. McDevitt noted that, while the construction sector is down, construction in the lodging industry (such as hotels) is up 41.5%, and suggested that companies look to that area for increased product manufacturing.

 

Future growth will also be seen in Colombia, where we export $850 million in product per month, and Chile, where we export about $800 million in product per month.