Business conditions in West Michigan remained positive in July, though several key indicators softened from June, according to the latest survey of supply chain managers by Grand Valley State University.
“July was another good, but not exceptional, month for the West Michigan Industrial economy,” said survey author Brian Long, director of supply management research at GVSU’s Seidman College of Business. “Again, we need to keep an eye on business confidence.”
Many survey respondents reported strong sales, some of which were attributed to increased demand from data centers. However, businesses remained cautious about the uncertainly emanating from the Iran war and its impact on prices and supply chains, Long said.
“This past month, we did not have a single survey participant reporting lower prices, but way over half of the participants are buried under higher prices that they are having difficulty negotiating,” Long said. “Tariffs are, of course, part of the problem, and higher oil prices drive a myriad of costs higher. Almost all the participants are still hanging on, but this can't last forever.”
Here’s a look at the key indicators measured in the survey of sentiment by West Michigan businesses:
- New orders (business improvement), +30 vs. +49 in June
- Production (output), +19 vs. +35 in June
- Employment, +6 vs. +25 in June
- Lead times, +28 vs. +27 in June
More information about the survey and an archive of past surveys are available on the Seidman College of Business website .
