DETROIT (Oct. 18, 2010)—North American suppliers predict that the next decade of economic growth won't match pre-recession levels, a newly released industry survey concluded.
The survey's author said suppliers are holding back on hiring and investment.
According to a survey of 92 suppliers conducted the week of Sept. 13 by the Original Equipment Suppliers Association, 45 percent of respondents expect global economic growth to lag behind the 3.5 percent rate seen from 1990 through 2007.
An additional 35 percent expect either a “lost decade” of near-zero growth or an erratic boom-and-bust scenario. Twenty percent of the suppliers expect the growth rate to return to pre-recession levels.
Suppliers with annual revenues exceeding $500 million were somewhat more pessimistic about the future, while suppliers with revenues of less than $150 million were more optimistic, the latest survey found.