Composites industry GBI stayed the course in February

The Gardner Business Index: Composites Fabricating is coming up on one year of continued contraction, having started down that road in April 2023. February’s index reading of 46.0, like January’s 45.8 reading, maintains this trend with no evidence of accelerated contraction overall since November 2023.

The combination of some components accelerating contraction and others slowing, explains the overall GBI’s steady contraction. Components, new orders, production and backlog slowed contraction a bit in February. Exports, on the other hand, have been accelerating contraction since August 2023, dropping a rather dramatic 3.5 points over that time. Employment accelerated contraction for a second month in a row, but this is not surprising given minimal “forward” movement in components that drive employment.

Supplier deliveries lengthened faster for a second month in a row, but not so dramatically as to stray far from 50 (flat). Business sentiment for February (not included in GBI calculation) stayed the course in terms of positive industry outlook, which jumped in December and leveled off in January.