January sees leap in Texas manufacturing

Manufacturers in the Lone Star State have continued on something of a streak in production rates, according to the Federal Reserve Bank of Dallas. As factories ramp up their activity, they can benefit from developing a relationship with a local CNC machine shop that can can create custom replacement parts for specialized equipment.

The Dallas Fed published a release that recently highlighted a strong increase in manufacturing activity. According to this source, higher demand for manufactured goods has driven a production increase of more than 1 percent and caused improvement in the employment index, which showed that workers are putting in more hours and 8 percent more firms in the sector are hiring.

Although the overall rate of business might not have increased as much as some would have wanted them to, as the Motley Fool (via Daily Finance) reports, the combination of these factors overall suggests m ore confidence in the market, and greater commitment to local manufacturing.

In addition, more than 27 percent of the manufacturers surveyed said that they had seen some sort of growth. While this is all positive news, the real questions come when you consider what it will take to sustain that momentum in the long term.

Companies' ability to continue rebounding from the recession and making greater permanent investments in this area will depend on them securing the services they need to keep their equipment running reliably.

With support from established Texas machine shops, manufacturers throughout the whole state might be able to enjoy continued success and avoid the feeling that this is just some sort of bubble.