Manufacturing Forecast (CONT’D FROM PAGE 1)
BOARD CONVERTING NEWS
Cautious Optimism Reports from the field corroborate this forecast. “Many of our members are cautiously optimistic about 2027, giv- en the fairly positive year they have experienced,” said Tom Palisin, Executive Director of The Manufacturers' As- sociation, a York, Pennsylvania-based regional employers' group with nearly 500 member companies ( macentralpa. org ). “A lot of them are reporting a strong pipeline of or- ders, while many are in a ‘no fire no hire’ mode, investing in training and skill upgrades which will allow them to in- crease capacity to take advantage of growth opportunities that may come along.” Profits are running especially strong at manufacturers serving the national defense and data center sectors, not- ed Palisin. While that trend is expected to continue, results are mixed at many other companies because of uncertain- ty about tariffs, inflation in raw material prices, and supply chain disruptions caused by the war in the Middle East. Even so, added Palisin, companies are generally maintain- ing the status quo in the workforce. “We have not seen any major layoffs or disinvestment.”
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The coming year should see a healthy increase in new business initiatives, an important driver of the economy, as CEOs invest the cash generated by their operations. Ox- ford Economics expects corporate profits to increase by a healthy 9.4 percent in 2027. That comes off a surprise 18.7 percent boom in expected 2026 results, generated largely by tax cuts from Washington, supercharged by the greater productivity resulting from Ai adoption. Much of that cash will end up in new projects. Ox- ford Economics expects business investment to rise by a healthy 5.9 percent in 2027, coming off a 7 percent in- crease in 2026 and a 4.1 percent boost in 2025. “Com- panies are taking advantage of opportunities to invest in their operating platforms and in expanding their business- es,” said Andrew Petryk, Head of Industrials at Brown Gib- bons Lang & Company (BGL), an investment banking firm ( bglco.com ). “They believe in long term investment, and they want to be prepared when the market takes off rather than be- ing caught missing the window of opportunity. They are using this slower time to upgrade their equipment and streamline their operations through automation.”
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Contact Len Prazych at 518-366-9017 or lprazych@nvpublications.com
CONTINUED ON PAGE 24
22 November 9, 2026
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