Tool makers expect stronger industry demand

With performance short of expectations in the first quarter, the tool makers expect a resumption of demand in the domestic market during the year. Companies expect growth of around 10%, still pulled by retail. "The new year brought positive numbers, but the expectation was superior. We expect recovery in the remainder of the year, with more confidence and credibility in the country, to take off investments in factories and leverage the construction works, "said commercial Director of power tools and accessories Division of Bosch, Peter Coast. He says that the performance is more positive in the metal sector. "The building industry is going through a slow recovery of the works, while the industrial sector has a clearer upturn." The company estimates above 10% advance in sales in 2019 Costa notes that retail follows with important sales. "From 2017, the pace of retail is interesting. Some customers of the industrial sector began to act in this market, seeking diversification, "he explains. Without giving numbers, the Executive reports that the company has invested to increase production in Brazil this year. "We made a strong investment in the plant in Campinas [SP] to get the most competitive prices. The plan is that production exceeds the volume of last year ". Starrett's President in Brazil, Christian Arntsen, says that after a first quarter of significant growth, the market lost strength in March. "We had an expansion around 30% in January and February, but last month was too weak. We feel the effects of the Carnival and the flooding that hit the greater São Paulo. " He understands that there is a greater caution with the economy right now. "The market came very optimistic and the difficulty the Government has faced to achieve some victories has generated a certain precautions." The billing account arntsen Starrett grew up around 8% to 10% in the first quarter. "Certain sectors have more positive reactions, such as automotive, which is very strong and pulls all industrial tools." He sees the construction sector still warm and the food with good growth. "But the highlight is even the metal." The Commission estimates that the industry has not yet reached the time to invest in increased production. "First, companies begin to increase overtime, after hiring and only then to invest in new machinery, equipment and tools", points out. The Executive believes that this jump will only occur when the market has more security. "The industry remains optimistic, but the Government has to show that it came from. Social security will not be solved overnight, but some smaller initiatives, such as the unification of the PIS and Cofins, could step in and give a signal to the market ", he ponders. Diversification the Deputy Manager of marketing of Makita, Kalil Kimulika Streich, estimates that the market is unstable. "There was more expectation at the beginning of the year, but not so much has changed. Could be better. But already we see some machines being sold and the enterprises of building industry coming back. " He estimates that retailers still stronger. "The industry is not back yet to your best time. The few, companies are demanding more, but still below what it was in the past. Sales are more connected to the reform and services professionals. " Streich, to face the crisis in the construction, power tool maker decided to diversify the business. "About three years ago, we started working with the professional cleaning market that, unlike works, not standing still." He says business registers important expansion. "Large companies are seeking new technologies. Labor shortage in the industry and our solutions replace brooms and squeegees, filling that gap. "