WCA September 2011

From the americas

because they were unable to find more traditional work. “Small business is of vital importance to the Canadian economy,” said Derek Holt, vice-president of economics for Scotiabank, in a note to clients. “But job creation within this category in a soft spot for the economy is always a knock against the quality of the headline gain.” Still, Mr Beltrame observed, Canada is doing far better in this area than its southern neighbour and biggest trading partner. He wrote (11 th June): “In the past year, Canada has created 273,000 new jobs, most full time and in the private sector, while the US has struggled to post solid gains.” Factory activity continues to be a sweet spot in the US economic recovery, but commodity prices are a worry At midyear, the rate of growth in US manufacturing was helping to ease concerns that the nation’s economic recovery would remain sluggish, and fuelling optimism that the economic slowdown of the first half would be temporary. In its latest available Report On Business, the Institute for Supply Management (ISM) reported that economic activity in the manufacturing sector expanded in June for the 23 rd consecutive month. According to data supplied to ISMby a 35,000-strong network of supply executives, new orders and production were both modestly up from May. The rate of increase in prices slowed for the second consecutive month, and was at its lowest since August 2010. Even so, and while the list of commodities up in price had shortened, ISM said that “commodity and input prices continue to be a concern across several industries.” ISM grouped its information on commodities into these three categories: (*Reported as both up and down in price) ❖ Commodities up in price: aluminium, castings, caustic soda, copper,* copper-based products,* packaging materials, plastic products, plastics, polyethylene, polypropylene, resins, rubber products, steel,* steel products, and titanium dioxide ❖ Commodities down in price: copper,* copper-based products,* nickel, stainless steel and steel* ❖ Commodities in short supply: capacitors, electric/ electronic components, and rubber products Anecdotal responses published 1 st July by the Tempe, Arizona-based ISM include the following: ❖ “We continue to see inflation, though at a reduced rate [compared to] earlier months.” (Chemical products) ❖ “Slight slowdown in overall business in both domestic and international markets, although still above 2010 at the same date.” (Electrical equipment, appliances, and components) ❖ “The earthquake and related issues in Japan have caused shortages of some automotive equipment, negatively impacting global automotive production.” (Fabricated metal products) ❖ “Customers are still being cautious with their buying. Certain plastics and metal prices continue to rise.” (Machinery) Manufacturing

Metals

Thieves target Chicago, destroying expensive air conditioners for their copper content

An item in the pilot issue of our sister publication wiredInUSA opened with the reminder that copper theft has always been a problem, the red metal’s “value to marauders” of the mid-1800s precluding its use in overhead telegraph lines. Submarine cables are safe – protected by “the ocean depths.” No such protection extends to air conditioners, and this summer the a/c-equipped homes and businesses of Chicago’s South Shore neighbourhood have been especially hard-hit by plunderers. Police say that the big units are ripped from windows and pulled apart, their copper innards snipped out and sold for cash. One resident, pointing out the remnants of several such operations throughout the neighbourhood, told NBCchicago. com, “They come between two and three in the morning, and by 6 o’clock they’re at the junk yard selling the copper.” (“ACs Busted, Stolen for Copper Inside: Police,” 28 th June). Proactive measures can add considerably to the cost of an air conditioner. One theft victim told the TV station that he paid $500 for a steel cage to enclose his replacement unit, and had it bolted to the ground. On 1 st July, the Chicago Tribune carried news of one especially callous attack: on the main air conditioning units atop the Animal Welfare League intake centre, which houses some 120 dogs and cats awaiting adoption. One unit was destroyed completely, the other torn apart – wires cut and the copper piping and coils taken. Large industrial fans had to be brought in to keep the vulnerable animals alive in the blistering heat of a Midwest summer. The estimated cost of repairing the salvageable unit is $25,000, unaffordable by the shelter. ❖ Because stolen or stripped commercial and residential a/c units need to be replaced or repaired, heating and cooling contractors and their suppliers obviously stand to benefit from this source. But it would be difficult to find an HVAC professional who welcomes business generated from such depredations as that visited on the Animal Welfare League of Chicago. Elsewhere in metals . . . ❖ On an environmental note, the Ohio metals service centre Olympic Steel Inc said on 15 th June that it had installed a $550,000 100kW wind turbine to supplement electricity to the company’s corporate office and attached temper mill facility in Bedford Heights. The unit is expected to provide approximately 15% of the electric power consumed at the location, with any excess directed to the local energy grid. The gearless, direct-drive design turbine, supplied by Wind Turbines of Ohio under a state- supported programme of grants for renewable energy initiatives, is mounted on a 120ft pole and features a 69ft diameter rotor.

Dorothy Fabian – Features Editor

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Wire & Cable ASIA – September/October 2011