The parent companies of factories that make construction equipment are reporting declining sales in their most recent quarterly reports.
Oshkosh Corp., the parent of JLG Industries in McConnellsburg, PA, on Thursday reported a 23 percent decrease in sales of access equipment during the quarter.
Volvo Group, the parent of Volvo Construction Equipment in Shippensburg, PA reported last week that sales of construction equipment were down slightly.
Manitowoc Cranes, parent of Grove U.S. in Shady Grove, PA is to announce its quarterly earnings on Wednesday. The company in mid-March had announced unspecified “headcount reductions” at Grove to help increase operating efficiencies.
Together the three original equipment manufacturers employ thousands of people directly and hundreds of others indirectly at local shops supplying them.
“The industry is cyclical,” said L. Michael Ross, president of the Franklin County Area Development Corp. “We’re hoping it’s bottomed out and will not go any deeper, and we’ll start to recover.”
Volvo, JLG and Grove manufacture for a complex global market.
The construction equipment industry continued during the most recent quarter to decline in the Middle East and Latin America, according to Volvo. Sales in Brazil and Russia remained weak. Sales in China gained some momentum ahead of new emissions rules set for April 1. The European market was up by 6 percent compared to the same period last year. The North American market remained stable.
