The metal industry is receiving an unexpected boom from the ammunition and rail cars industry as both seem to be thriving despite the recent economic turbulence. This has led to an increase in demand for niche metal manufacturers and their products.
As the construction industry, which provides around about a third of the demand in the country for copper and steel, continues to struggle other metal intensive markets are actually helping to pull the demand over what had been a predicted slump.
Texas-based fabrication business Willbanks Metals Inc have seen their staff double in 18 months as demand for steel parts and products in oil and gas extraction increases due to growth in the drilling industry.
CEO Eric Letz commented “We see oil and gas as a sector that will continue to be extremely robust and vibrant for the next few years.” Apparently up to 40% of the company’s business comes from such industries.
Olin Brass in Kentucky has also seen their ammunition division increase, providing the company with steady growth whilst also providing even more business for the metal industry.
“We’ve grown 10 percent year on year in commercial ammunition. That’s pretty good growth,” said Tom Werner, vice president of sales and marketing at Olin.