Gehl Company, a leading manufacturer of compact equipment for agriculture and construction markets, is really turning people’s heads with new, small wheel loader additions to their product lines: Gehl compact articulated loader models 140, 340 and 540. These exciting new machines have caught the eye of landscapers, farmers, ranchers, stable operators, fertilizer and feed plants, municipalities and grounds maintenance crews worldwide.

Three all-new, uniquely different sized loaders are designed to fit both the budget and the application at hand. Gehl articulated loaders feature tipping loads ranging from 1,900 to more than 5,100 lbs (when not articulated) and rated operating capacities from 950 to more than 2,550 lbs. These multi-talented machines can run virtually all universal-type attachments, putting tools customers already own to good use. Compact sizes from as narrow as 41 in. on the model 140 allow easy access to extremely tight spaces.  Articulated steering allows for turns up to 45 degrees, which further enables these compact loaders to navigate confined spaces while minimizing damage to sensitive surfaces and reducing tire wear.

Gehl articulated loaders come equipped with industry-proven Yanmar diesel engines.  These quiet and efficient powerhouses feature Interim Tier IV-certified emission technology with excellent performance in all applications. Horsepowers range from 23 hp on the model 140 to 47 hp on the model 540.

Gehl articulated loaders are designed to go almost anywhere and do almost anything. A heavy-duty oscillating joint offers 45-degree turning angles to the left and right and 10 degrees of oscillation in both directions for optimal stability and maneuverability.

The bucket and tires follow a constant turn radius, so the rear tires of the loader follow the path of the front tires. Narrow machine widths allow access to tight, confined spaces that most skid-steer loaders with comparable operating capacities cannot access.

A complete cab enclosure option is available on the models 340 and 540, providing enhanced comfort and safety for all-day-long operations. Excellent 360-degree visibility is achieved by positioning the operator above the load for safe operation and excellent view of the attachment. A multi-function joystick controls the lift arm, bucket, float, travel direction, differential lock and auxiliary hydraulic functions. An inching pedal allows operators to vary ground speed while maintaining a fixed engine speed, to optimally run attachments while enabling precise machine speed control.

For more information, visit www.gehl.com or contact the Gehl literature hotline at 800-628-0491.

It takes a powerful and capable engine to pull a 10,000-lb trailer or carry a nearly 2,000-lb payload, but when cargo is left behind, Active Fuel Management (AFM) helps drivers get more miles out of a gallon of gas.

AFM enables many of the V8 engines in GMC Sierra pickups and Yukon SUVs to behave like a four-cylinder engine when cruising with light loads while seamlessly unleashing their full muscle whenever needed. Engineers pioneered the concept of variable displacement engines, but the idea really came into its own with the development of modern electronic engine management systems and sequential fuel injection.

Under light load conditions when only a fraction of the available power is needed to keep the vehicle moving, the fuel delivery to four of the eight cylinders is switched off and a solenoid system collapses the valve lifters to reduce the pumping losses and improve fuel efficiency. As soon as the vehicle begins climbing a grade or the driver needs to accelerate to complete a pass, those cylinders are automatically and transparently re-enabled.

On the GMC Sierra and Yukon Hybrid models, engineers used the ability of the sophisticated two-mode system to provide electric drive assist at highway speeds so the 6.0-liter Vortec V8 can be kept in four-cylinder mode longer. Where a standard pickup or SUV might switch back to eight-cylinder mode while ascending a grade, the hybrids use their electric motors to maintain speed and keep four cylinders turned off, helping these trucks to achieve best-in-class EPA estimates of 20 mpg in the city and 23 mpg on the highway.

With EPA estimates of 15 mpg city and 22 mpg highway, the AFM-equipped 2011 GMC Sierra XFE is the most fuel efficient V8-powered, conventional full-size pickup in America. AFM is also currently used on the standard 5.3-L Sierra and Yukons with the 5.3, 6.0 or 6.2-L V8 as well as several Chevrolet pickups and Chevrolet and Cadillac SUVs.

“Active Fuel Management offers Sierra and Yukon owners the best of both worlds – all the capability expected of a full-size truck or SUV with better fuel economy,” said Jordan Lee, global chief engineer and program manager for small block engines.

A draft executive order that would force government contractors to disclose all political contributions would make it too easy for political appointees to punish contractors for their political views or to coerce contributions from firms, officials with the Associated General Contractors of America warned today in testimony submitted to Congress.

“The process outlined in the draft executive order would make it much easier for government officials to use the political activities of government contractors as a factor when awarding contracts,” Stephen E. Sandherr, the association’s CEO noted in testimony submitted today to a hearing held jointly between the House Committee on Oversight and Government Reform and the Committee on Small Business. “This order actually introduces, instead of excludes, politics from government contracting.”

Sandherr, who raised similar concerns in a letter he sent directly to President Obama, said that the proposed executive order, titled “Disclosure of Political Spending by Government Contractors,” is unnecessary. He noted that there is no evidence to indicate that political contributions are influencing the award of federal contracts. And he added that the contractors are already required to disclose the vast majority of political spending.

While the ostensible purpose of the executive order is to ensure contracting decisions are based on merit and best value, Sandherr cautioned that it would actually “create the mechanism for enforcing a political litmus test on government contractors rather than prohibiting the consideration of political contributions.” He warned that the rule, once finalized, would actually undermine the credibility of the current federal procurement process.

Sandherr also questioned the political motives of the order, noting it does not apply to many special interest groups that currently seek federal funding, grants or favorable regulatory and administrative rulings. The construction official noted, for example, that federal employee unions that negotiate contracts for their members worth many times the value of most government contracts would not be required to disclose their political spending.

“The fact the President seems unwilling to hold unions to the same standard as employers makes the intent of this draft order, at best, questionable,” Sandherr said. “This rule makes it look like the Administration is more interested in punishing political opponents and propping up political allies than protecting public taxpayers.”

View Sandherr’s testimony to Congress here. View Sandherr’s letter to President Obama here.

Thompson Pump & Mfg. Co., Inc., held their 21st annual Pumpology School April 27-29, at their corporate facilities in Port Orange, Fla.

Thompson Pump hosted more than 45 attendees from 16 states and two foreign countries.  The three-day workshop included training sessions for sales and service-oriented professionals on pumping fundamentals, dewatering and bypass applications, selecting the correct pumping equipment, designing, installing and maintaining pumping systems, troubleshooting, pump maintenance and more.

Pumpology School offers hands-on demonstrations and classroom training from industry experts. Upon completion of training and successfully passing a comprehensive examination, attendees are recognized as certified Pumpologists at an awards ceremony.

“Pumpology School serves as a launching pad to help us form and continually develop lasting relationships with individuals and companies involved in a common industry,” said Bill Thompson, Thompson Pump president. “We enjoy bringing people together and furthering proactive education with the Thompson Pump team’s combined knowledge and experience in pumping systems throughout multiple applications, markets and territories. Our education provides students the tools to synthesize concepts into everyday functionality, integrating pumping fundamentals as a guideline for further expansion and elaboration of not only themselves but their company.”

Thompson Pump is respected worldwide for its sophisticated heavy-duty lines of high quality portable pumps, ranging in size from 2 to 18 in. and with capacities to 14,000 gallons-per-minute. Thompson Pump sells and rents their entire line of pumps to the areas of public works, municipalities, construction, agriculture, dewatering, mining, sewer/lift stations and water/waste water.

Types of pumps engineered include: wet prime trash pumps; dry prime trash pumps with compressor-assisted or vacuum-assisted priming systems; sound attenuated pumps; utility trash pumps; diaphragm pumps; hydraulic power units with submersible pump ends; electric submersibles; rotary, vacuum and piston wellpoint pumps and high pressure jet pumps. With these different types of pumps, as well as a full complement of accessory hoses and piping, Thompson can offer the proper pump and system for any application.  In addition, Thompson provides engineering services and special applications consulting for complicated wellpoint, bypass or multiple pump systems; and offers thorough pump and dewatering education and training through its Pumpology courses.

For more information, call (800) 767-7310 or log onto www.thompsonpump.com.

On April 12, the U.S. Energy Information Administration (EIA) released the April 2011 Short-Term Energy and Summer Fuels Outlook that includes a detailed look at the forecast for transportation fuels during the upcoming summer (April through September).

Regular-grade gasoline retail prices, which averaged $2.76 per gallon last summer, are projected to average $3.86 per gallon during the 2011 driving season. The monthly average gasoline price is expected to peak at about $3.91 per gallon by mid-summer. Diesel fuel prices, which averaged $2.98 per gallon last summer, are projected to average $4.09 per gallon this summer. Weekly and daily national average prices can differ significantly from monthly and seasonal averages, and there are also significant differences across regions, with monthly average prices in some areas exceeding the national average price by 25 cents per gallon or more.

Because taxes and retail distribution costs are generally stable, movements in gasoline and diesel prices are driven primarily by changes in crude oil prices and wholesale margins. The retail price projections in the Outlook reflect higher prices for the refiner acquisition cost of crude oil, which averages about $112 per barrel ($2.67 per gallon) this summer compared with the $75 per barrel ($1.78 per gallon) average of last summer.

EIA expects wholesale gasoline margins (the difference between the wholesale price of gasoline and the refiner acquisition cost of crude oil) will average 53 cents per gallon this summer, up 18 cents per gallon from last summer and slightly higher than the previous 5-year average of 50 cents per gallon. Similarly, forecast wholesale diesel margins are higher this summer (60 cents per gallon) than last summer (40 cents per gallon).

EIA projects gasoline consumption will average about 9.3 million barrels per day (bbl/d) over the summer, an increase of 45,000 bbl/d (0.5 percent) over last summer. Population growth and a recovering economy contribute to gasoline consumption growth, while higher gasoline prices and the increase in the Corporate Average Fuel Economy (CAFE) tend to moderate it. At the onset of the summer driving season, total motor gasoline stocks, at an estimated 215.7 million barrels, are 8 million barrels below the level of a year-ago, but 1 million barrels above the most recent 5-year average (2006-2010).

Retail Gasoline and Diesel Prices Surge
The U.S. average retail price of regular gasoline surged this week, adding almost 11 cents versus last week. At $3.79 per gallon, gasoline is priced $0.93 per gallon higher than last year at this time; it is the highest price in April since EIA began tracking weekly data in 1990. For the second consecutive week, the biggest increase in the country was in the Midwest, where gasoline added more than 12 cents per gallon. On the Gulf Coast, gasoline prices jumped an even 12 cents per gallon. The East Coast saw its average gasoline price gain a dime. The West Coast average increased more than eight cents to $4.04 per gallon, the first time any major region has eclipsed $4 per gallon since August 11, 2008. Rounding out the regions, gasoline in the Rocky Mountains was about seven cents higher this week and remains the least expensive in the country at $3.57 per gallon.

Diesel prices added 10 cents this week to hit $4.08 per gallon. This is the first time the national average diesel price has been above $4 per gallon since September 2008. Diesel is $1.01 per gallon higher than last year at this time. Midwest diesel prices were up almost 11 cents per gallon, which was the biggest regional price increase in the Nation. East Coast diesel prices also saw a double-digit gain of 10 cent s per gallon. The West Coast and Gulf Coast both saw increases just under 10 cents per gallon. The Rocky Mountain region marked its 20th consecutive weekly increase by adding eight cents to last week’s average price.

Looking to learn more? Watch this March video from the fine folks at Mahalo, back when prices were a little lower. Ahh, those were the days.

Caterpillar Inc. chairman and CEO Doug Oberhelman urged Congress to take action immediately to enact pending Free Trade Agreements (FTAs) between the United States and Panama, South Korea and Colombia.  

Caterpillar has been a long-time advocate of free trade agreements and was instrumental in supporting the passage of FTAs with Mexico, Chile, Central America, the Dominican Republic and Peru. Since those FTAs went into effect, Caterpillar exports have increased substantially to those regions of the world -- up fivefold to Mexico, threefold to Chile and up by more than 60 percent to Peru.  

“The message about the success of FTAs is too important to get lost. American manufacturers can compete with anyone -- provided they have open markets and a level playing field. Opening foreign markets is a fundamental competitive challenge for the United States to increase exports and generate more U.S. jobs. We need to open those foreign markets with a sense of urgency, before our competitors in Asia, Europe, South America and Canada leapfrog us with their own trade agreements,” Oberhelman said.

In addition to helping U.S. manufacturers of industrial goods, the Panama Free Trade Agreement will substantially improve market access for U.S. farm products, consumer goods and services. It will bolster the rule of law, investor protections, internationally recognized workers’ rights, transparency and intellectual property protections.  

“We are pleased that Congress and many in the Administration now recognize the importance of trade with Latin America and other countries around the world. For Caterpillar, which exported more than $13.4 billion in goods from its U.S. manufacturing facilities last year, there is a tremendous opportunity to sell more mining trucks and scrapers made in Decatur, Illinois, and track-type tractors made in East Peoria, Illinois, to Panama as part of its canal expansion plans,” Oberhelman added.

“The canal expansion is one of the biggest public works projects since the Three Gorges Dam in China. We are doing our best to earn the business associated with the canal and all the other infrastructure projects in Panama. And, if we can sell all our U.S.-produced products to Panama duty-free, it will help our customers and provide us with a competitive edge over products made in other parts of the world.”  

If enacted, a trade agreement with Panama would eliminate tariffs ranging from three to 10 percent on Caterpillar products exported from the United States. Additionally, a trade agreement with Colombia would eliminate tariffs ranging from five to 10 percent. These trade agreements would benefit the company, its employees and its customers.

Looking for more industry insights from the big brains at Caterpillar? Watch Oberhelman and Caterpillar group president Stu Levenick discuss Cat’s growth at CONEXPO-CON/AGG, focusing on dealer networks and new products and services on display at the show during a press briefing held March 23, 2011.

Trenchless technology, as the name implies, stands for subsurface construction works where fewer trenches or no continuous trenches are required to be dug. It is a rapidly growing sector of the construction and civil engineering industry because of its minimal impact on surface activities, meaning no closed roads, no torn up yards and no heavy equipment holding up our lives. There is no better place to learn about these innovative technologies than at the 2011 No-Dig Conference and Exhibition.  

Our company, Benjamin Media Inc., actually runs the annual No-Dig Conference and Exhibition for the North American Society of Trenchless Technology (NASTT); we also have the best magazine in the trenchless industry, Trenchless Technology. The No-Dig Show, which this year is in Washington, D.C., March 27-31, is a must-attend event for the trenchless professional and those contractors interested in trenchless solutions -- awesome technologies like pipe bursting, horizontal directional drilling, auger boring, microtunneling and so much more.

Through exhibits, educational seminars and fun networking events, the No-Dig show draws trenchless professionals from around the globe to the largest conference and tradeshow in North America dedicated solely to the promotion of trenchless technology. This year, the conference is paying homage to its history, marking 20 years of trenchless solutions.

2010 was a good year for the trenchless industry and this year’s conference hopes to capitalize on that momentum with a strong show. In 2011, more than 140 exhibitors will fill the 73,000-sq ft exhibit hall, displaying the latest in trenchless equipment and technology and be on hand to answer attendees’ question. Also roaming the exhibit hall will be actors dressed as past presidents, giving the show that Washington D.C., feel.

Along with the jam-packed exhibit hall, the No-Dig technical paper program is also an important part of the show’s success and stature — and which has become the heart and soul of the conference. 2011 brings 140-peer-reviewed technical papers to be presented, focusing on a diverse range of trenchless topics, including horizontal directional drilling, cured-in-place pipe (CIPP), microtunneling, inspection, case histories, asset management, pipe jacking and ramming, water and sewer rehabilitation, project planning, inspection and trenchless research. Pre- and post conference seminars are also on the schedule for attendees at an additional cost. On Sunday, March 27, NASTT’s Trenchless Technology Short Course-New Construction and Rehabilitation will be held..

The conference itself gets under way with its annual Kick-off Breakfast on Monday, March 28. During this event, the formal presentation of the 2011 Trenchless Technology Person of the Year, as well as the 2011 Outstanding Papers in Rehabilitation and New Installation Awards will be announced. Entertainment for this event will be comedian Greg Schwem, whose performance provides an entertaining look at today’s corporate environment and the latest tools used to conduct business.

Also on March 28, NASTT will hold its 10th annual Educational Fund Auction & Reception. This annual event is the perfect opportunity for attendees to mingle and relax, as well as bid on items for an excellent cause — the Educational Fund, which  supports student chapters, target research, training modules and other student activities.

On Tuesday, March 29, NASTT will host its annual Gala Awards Dinner. During this popular event, the trenchless community gathers for a night of fun, food and dancing to live entertainment. To close out the 2010 No-Dig event is the annual Closing Luncheon and Keynote Address on Wednesday, March 30. Here, attendees can enjoy lunch, entertainment and say good-bye to their fellow trenchless professionals before heading home.

At a nominal extra cost, you can even take a moonlight tour of the nation’s capitol, taking advantage of the Monuments by Moonlight Tour on March 27. The tour includes stops at the National Mall, the Lincoln Memorial, the Korean War Memorial and the Vietnam Memorial and more.

For more information about the 2011 No-Dig Show, visit www.nodigshow.com or contact Benjamin Media, which handles the show’s management, at 330-467-7588.

Looking to buy a Freightliner truck? Well, your salesperson might pull out a new iPad to help complete the sale. The company just announced the introduction of its Freightliner Sales Tool App for iPad. Developed and provided to Freightliner Trucks dealers, the Freightliner App provides a complete resource for technical and operational information that encompasses the entire Freightliner Trucks product line including, on-highway, vocational, medium-duty and severe-duty truck applications.

"We developed this app so our Freightliner sales professionals would have a way to rapidly respond to their trucking customers‚ pertinent needs and questions in real time," said Lori Heino-Royer, special project manager for Daimler Trucks North America. "The portability of iPad allows the presentation and discussion of relevant Freightliner product benefits while standing with the customer, right next to the vehicles."

The Freightliner App hosts a catalog of product details, including truck model specs, videos, photos and more allowing dealers and customers to have access to detailed product information for vehicles not available in the showroom for viewing. Also, with iPad, dealers will have instant access to the Daimler Truck Financial point-of-sale website, F&IPro. Freightliner sales personnel can upload and submit credit applications, present terms and payments through the loan or lease calculator, and generate contracts and other customer documents through one simple portal.

The iPad was selected for its ease-use, large, high-resolution display and innovative Multi-Touch interface. Plus, with the ability to connect to the Internet via WiFi or 3G, iPad is the perfect mobile device for traveling sales professionals.

"Our new app, combined with iPad, transforms the traditional sales method into a more efficient process, helping us focus on business growth that will arise as a result of improved productivity and product knowledge," said Mark Lampert, senior vice president of sales and marketing for DTNA.

Continued Martin Daum, president and chief executive officer, DTNA, "Not only do these tools allow us to provide an interactive experience for our customers, but they better equip our dealers with the resources they need to succeed. We look forward to hearing what customers think of the experience."

The economic downturn in 2008 and 2009 caused severe repercussions within the tire industry, including a major slowdown in production. That, in turn, led to a problematic fill rate situation in the year that followed.

Fast forward to 2010 when the industry actually did see signs of improvement – most critically, an increase in customer demand. Companies experienced a better, stronger year. However, with the relief from one pressure came new challenges from several others that replaced it. There was now of course, and continues to be, the pressure to get supply to adequate levels. Then, there are the skyrocketing costs of raw materials, labor issues, legislative and regulatory battles, as well as fierce competition.

Things may look clouded still, but not to Takao Oishi, president and CEO of Yokohama Tire Corp. (YTC). Under Oishi’s guidance, Yokohama has successfully navigated through the tough times and is poised for a promising future. In this Q&A, Oishi offers an industry overview, from a president’s perspective. 

Yokohama has turned the corner in the economic downturn. How are things going? 

Takao Oishi: Thanks to everyone’s hard work and effort at YTC, we’ve been doing very well and are still continuing to grow. Like all companies in our industry, 2009 was a rough year, but 2010 was a big improvement for us overall. We’re still struggling, though, with issues that are affecting everyone in the industry, such as the escalating costs of raw materials and fill rate problems.

What kind of trends do you see in the marketplace?  Do you see an increase in the OTR market? Commercial? Consumer? 

Oishi: Our research indicates the commercial segment is growing a little faster than the consumer segment at this time. There are more commercial trucks on the road carrying more goods – a very good sign for the economy indeed and the commercial tire market. Additionally, the commercial segment is becoming more environmentally-aware with initiatives such as the EPA’s SmartWay program. This opens new opportunities as an ever increasing number of fleets require SmartWay-verified tires that are fuel efficient and last longer, which Yokohama already has. We not only save fleets money, but protect the environment as well. We believe being green is an important part of our business. 

Do you think we can expect improvements for the tire industry overall in 2011? 

Oishi: Yes, 2011 will be slightly stronger than 2010, but all tire manufacturers – including Yokohama and its competitors will face the same problem on supply, as well as the rising costs of raw materials. Remember, the industry really suffered economically in 2008 and 2009. Most companies didn’t invest largely in their factories. Production was cut dramatically. Now that the economy is turning around, all of us are doing our best to catch up quickly. How fast anyone does this will be key to their success.  

What are the biggest challenges facing the industry? 

Oishi: The rising cost of materials is a major challenge because you can’t prevent it. This makes it tough on everyone, especially the tire makers. As a manufacturer, you have to be very sensitive to the raw material price fluctuations. When raw material prices go down, we can earn money. When they go up, we can’t. We are forced to adopt price increases but the rates they take on never fully offset the increase in raw materials. That’s why we have to be an efficiently-run company. We’re looking at every angle on how to optimize operations. This will continue to be a primary focus for us now and as we approach our 100th anniversary in 2017.

Is a key strategy in 2011 and beyond to keep reinvesting in the company for future growth? 

Oishi: Yes, of course. Continued reinvestment in technology and new products means we are obsoleting ourselves before our competitors do. This assures us that we are meeting the needs of our customers better. This, in turn, means future growth as customer confidence is made ever stronger.

Does quality beat price? 

Oishi: We know that some people will only buy on price, but overall, we believe quality does beat price. Not only do we beat them on the quality, we also beat them on servicing after the sale. Those things are important to consumers. Let’s not forget to add performance, ride comfort, handling and tread life. It all adds up. In the end, our tires prove their value every day. That’s why these copycat companies don’t threaten us. They may be a little headache, but nothing more. I’m not worried about them.

What does concern you?  

Oishi: I don’t worry too much, especially about the competition because we make a great product under the name of Yokohama and it’s supported by a dealer base that believes in the product and customers that are loyal to the brand. I’m not too concerned about the next five years because if we can get the supply, we’ll grow quite a bit. Obviously, you have to keep your eyes open to all possibilities and challenges, but I believe in staying focused and doing our best in everything we do. That includes technology, quality control and environmental initiatives...everything. If we do that, growth will take care of itself. 

To read the full interview with Mr. Oishi, click here.  

Investment in capital construction, machinery and equipment for Canada is expected to rise 3.3 percent in 2011 to $349.1 billion, according to a recent report by Statics Canada. Much of the recovery from the 2009 economic downturn occurred in 2010 due to strong growth on the part of both public (+17.5 percent) and private (+8.0 percent) investment. If intentions are realized, increases in 2011 will be led by private investment, which is expected to grow 3.8 percent to $261.3 billion. Significant private capital spending intentions are anticipated from the mining and oil and gas extraction sector, which is expected to grow 11.4 percent to $53.0 billion.

Housing starts are forecast under high, medium and low scenarios by Canada Mortgage and Housing Corp. These scenarios are used to estimate new housing investment, a key component of the overall housing forecast estimates. The 2011 estimates for housing in this release are based on the mid-case scenario for each province. The table "Capital spending in Canada, 2011 intentions, by scenario", which appears in this blog covers all three scenarios.

Investment intentions for non-residential construction and machinery and equipment are based upon a sample survey of 28,000 private and public organizations. This survey was conducted between October 2010 and late January 2011. Data in this release are expressed in current dollars.

By investment component, construction is expected to increase 3.6 percent to $240.6 billion and will account for more than two-thirds of total capital spending. Canada's housing sector is forecast to increase to $94.7 billion in 2011, up 1.5 percent, following 15.5 percent growth in 2010.

Mining and Oil and Gas Extraction Sector Fuels Investment
Investment intentions by companies in the oil and gas extraction sector will reach an estimated $35.7 billion in 2011, up $3.0 billion (+9.1 percent) from 2010. Powered by a host of new projects in the Alberta oil sands, investment in non-conventional oil extraction is expected to rise 27.8 percent in 2011 to $14.3 billion. Investment in the mining sector is expected to total $11.5 billion in 2011, up 23.8 percent. This is the second year of strong growth in this sector, following a 31.8 percent increase in 2010. Much of the additional capital spending is earmarked for the development of several metal ore mining projects. Investment in support activities for mining and oil and gas extraction is expected to rise 3.9 percent in 2011 to $5.7 billion.

Primary Metal Manufacturing Set to Increase
Overall, the manufacturing sector intends to invest 15.1 percent more on capital construction and machinery and equipment in 2011, reaching a total of $17.1 billion. This growth is expected mainly to be due to strong gains in the primary metal manufacturing industry (+67.7 percent), which will account for more than half of the entire sector's expected increase. Investment intentions for most of the remaining industries in this sector are expected to increase modestly from 2010. Canada's transportation and warehousing sector is expected to rise 14.4 percent to $22.1 billion in 2011. Most of this increase can be attributed to an increase of over $1.5 billion (+28.0 percent) in the transit and ground passenger transportation industry.

Investment by Public Administration Expected to Remain Stable
Following a 19.3 percent increase in 2010, investment spending by the public administration sector is expected to total $42.8 billion, down 0.2 percent. Only provincial governments are expecting to increase their capital spending in 2011. Provincial government capital outlays are expected to reach a total of $17.5 billion, up 2.5 percent. Spending by the federal government is expected to fall by 7.2 percent, while municipal capital spending is expected to decrease slightly by 0.4 percent.

Investment Increases in Most Regions
Although increases in investment intentions are widespread across Canada, both Alberta and Quebec show considerable strength. Capital outlays in Alberta are expected to increase 4.3 percent to $73.5 billion, primarily due to higher investment intentions in oil and gas extraction. In Quebec, higher investment intentions in the manufacturing, utilities, mining and oil and gas extraction sectors are behind an anticipated increase of 3.8 percent to $66.6 billion.