TO FORKLIFTACTION.COM, MATERIALS HANDLING ONLINE.
This is issue #168 - 29 July 2004 of the
weekly newsletter for industry professionals.
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1. Internet advertising rockets towards USD16 billion
NEW YORK, NY, United States
US market research company JupiterResearch has predicted that online advertising will more than double in the next five years to at least USD16 billion.
The forecast, presented at the Jupiter/ClickZ Ad Forum in New York, asserts that the online advertising market will grow from USD6.6 billion in 2003 to USD16.1 billion by 2009.
While paid search revenues would grow 30% compounded annually over the next two years, Jupiter said this function was no longer the sole driver of online advertising spending.
Display advertisements and online classifieds would each grow by more than 25% compounded annually over the same period.
Much of the growth in online advertising could be credited to the increasing sophistication of advertisers, the company's research summary said.
Benefiting from experience and a more powerful tool set, advertisers were now better able to target, measure and convert their audiences online.
This would provide advertisers with the confidence to allocate more of their advertising dollars to the Internet and a willingness to pay more for premium online inventory as it became scarce.
"The growth in online advertising is the product of all the progress that websites and technology providers have made in the last two years," JupiterResearch senior analyst Gary Stein said.
"We've seen companies very actively working to make the Internet a more attractive advertising medium.
"With targeting technologies, the discovery of search by major advertisers, and real measurement and planning tools, the Internet is ready to fulfil its early promises of effectiveness, reach and trackability."
Forkliftaction.com general manager Ann Hofmans said the JupiterResearch findings provided further proof that online advertising worked.
"As industry worldwide takes its first steps into online advertising, it follows other businesses who, after successful trials, are moving bigger parts of their advertising budgets from the traditional media to online publications," she said.
"The biggest advantages of online advertising are its reasonable set-up cost and its transparency.
"You can actually measure the results and the return on your investment - an advantage which the traditional print media cannot offer."
2. Manitou, Gehl combine their telehandler ranges
Rough terrain forklift giant Manitou and construction and agricultural equipment manufacturer Gehl have forged a partnership under which their range of telescopic handlers will be combined.
Two agreements signed on July 22 will give each company a more comprehensive range of products in the USA and elsewhere.
Manitou has invested USD19.8 million in Gehl stock, while Gehl said it would recommend the appointment of Manitou CEO Marcel Claude Braud to its board.
Wisconsin-based Gehl, which reported net sales of USD244 million last year, will manufacture two series of Manitou compact telehandlers under license at its Yankton, South Dakota, factory.
The machines would be sold through Gehl's network bearing Gehl's name, colour and livery, a company statement said.
Under a reciprocal supply agreement, each company will bolster its US telehandler range with models designed and manufactured by the other, but distributed in each company's own livery.
Gehl chairman and CEO William Gehl described the new partnership as an "excellent opportunity".
"Manitou's worldwide leadership in telescopic handlers will be a strong asset in our mutual goal to further grow our presence in the US," he said.
Manitou, which reported net sales of USD821.5 million in 2003,
said the agreements would take effect from the beginning of 2005.
3. Global boom causes long delays in forklift delivery
The worldwide economic recovery has left forklift manufacturers struggling to keep pace with the increased demand for new machines.
Industry professionals contacted by Forkliftaction.com suggest increased economic activity in the construction sector is reflecting positively on the materials handling industry.
Anecdotal evidence suggests orders for certain earthmoving machines has blown out to more than a year.
Jungheinrich and Raymond, two brands with big presences in the USA, have reported swollen order books as purchasing attitudes change from conservative to aggressive on the back of the economic boom.
James Malvaso, president and CEO of The Raymond Corporation, said the improving economy had boosted orders for warehouse materials handling equipment in the US market.
But the company, one of the US's oldest forklift manufacturers, had put plans in place to temper the impact of increased demand.
"The Raymond Corporation is not experiencing any difficulty meeting customer demand for new warehouse trucks, nor do we anticipate a problem if the growth in orders continues," Malvaso said.
"We made significant investments in our plants and our R&D facilities just prior to and during the recent economic downturn.
"Our investments gave us additional production capacity and enabled Raymond to continue to develop and introduce new products and product innovations over the past several years."
Dirk von Holt, president of the US Industrial Truck Association and president of hand pallet maker Multiton, said the US industry had been caught by surprise by the increase.
"The North American forklift truck market is bouncing back, indeed," he said.
"Factory orders for the first quarter 2004 were 36% above last year's first quarter, and the second quarter was 23% higher than the (corresponding) quarter in 2003.
"These strong movements have certainly had an effect on lead times.
"The industry adjusted to the lesser demand of 2001-2003 and was positively surprised by the strong first two quarters (of this year)."
In Japan, home to Toyota, one of the largest forklift manufacturers in the world, the Japan Industrial Vehicles Association says production in the first quarter surpassed the first quarter of 2003 by 10%.
Keith Edkins, chairman of Castle Forklifts, an independent dealer which sells Heli, Nuova Deta and TCM forklifts, among others, said lead times had "blown out" since the economy began improving.
Edkins, who has operated in the UK forklift market since the 1970s, said orders had been increasing for about a year, but now the trend was "really biting".
"Two years ago I could order a hand pallet truck from China and know it would be on a ship 20 days later," he said.
"Now, that same order would take 65 days to get to the dockside."
Edkins said the situation could turn from over-demand to over-supply very quickly.
"The cyclic nature of this and any other industry means the difference between feast and famine is usually only 2-3%," he said.
"I remember placing an order for an average forklift truck in the late 1970s and being quoted delivery times from 52-78 weeks.
"By 1981, there was such oversupply of trucks that you could buy a truck on two days' notice."
4. TVH's new project: sales of second-hand access equipment
TVH wants to become European leader in used access equipment. This new department is headed by Philippe Parmentier, who is responsible for sales and purchasing. TVH will only focus on products that comply with the most current CE-standards. TVH stocks only top-of-the-range brands with the best price/quality ratio, including Genie, Grove, JLG, Upright, Niftylift and Aichi. There are always at least 100 second-hand machines in stock in our new premises in Waregem. TVH offers a large assortment of scissorlifts, articulating boomlifts, telescopic boomlifts (even on tracks) and trailermounted lifts.
This addition to the already existing vast range once more emphasizes the "One Stop Shop" principle of TVH.
5. Malaysian ports buoyed by economic growth
KUALA LUMPUR, Malaysia
Increased economic activity in Malaysia could result in cargo throughput increasing by 29% at Port Klang and Port of Tanjung Pelepas (PTP), Transport Minister Datuk Seri Chan Kong Choy has predicted.
Riding on first-half growth, volumes could increase to a combined 9.7 million 20-foot-equivalent units (TEUs), the minister said.
He told The Edge Financial Daily he expected Port Klang's throughput this year to increase to 5.2 million TEUs from 4.8 million TEUs last year, while PTP would handle between 4-4.5 million TEUs, up from 3.5 million TEUs in 2003.
The growth could be attributed to increased manufacturing in the country and the subsequent rise in activity at the ports, the minister said.
PTP posted its highest-ever first half throughput, handling 2.01 million TEUs, an increase of 25.3%.
Port Klang's throughput increased by 11% to 2.61 million TEUs, up from 2.35 million TEUs in the first half last year.
The minister said he expected Port Klang and PTP to maintain their positions as the 12th and 16th largest ports in the world.
6. COMMENT: Safety regulators, shape up!
It would appear Forkliftaction.com members want materials handling safety regulators to act now to clear up the confusion surrounding the use of forklift parking and service brakes.
The Forkliftaction.com Discussion Forums have hosted an interesting and active debate on this topic in recent weeks.
The debate (click here to read it) was sparked by a forum participant, vic_k, who noted that UK companies were now insisting their forklift operators be properly trained and licensed.
However, his contention was that many trainers were teaching methods that immediately became impractical - and therefore were disregarded - in the workplace.
Specifically, vic_k refers to trainers teaching operators to always apply the parking brake before initiating any load movement, a practice that, according to wayne_c, another forum participant, is "socially and technically irresponsible".
"The acid test is that in the real world, no-one drives as they are taught. It cannot be enforced because it is nonsensical," vic_k said.
"It is high time that training authorities wake up, smell the roses and modify their practice such that the correct way is to apply the service brake, which holds the truck safe when making all hydraulic movements."
Wayne_c goes on to explain: "... The vehicle is designed to do several functions at once. The operator raises his forks at the same time as he is moving forward. When he achieves his height, he enters the pallet. At that point he lifts, tilts and engages the reverse control. He then looks behind, looks ahead, backing until clear, lowers the load and continues moving in reverse. The vehicle only stops momentarily as he secures his load. This is pallet handling at its norm."
If the concerns raised by forum participants are founded, it may be time for forklift safety regulators to agree on a single standard.
While Forkliftaction.com News has reported recently the positive initiatives being put into play by international organisations (click here to read the latest in this excellent series), when a situation arises where operators are actually disregarding their training instructions, this is a very real problem that needs to be urgently addressed.
Importantly, debate on this particular topic has been stimulated by Forliftaction.com's Discussion Forums and is a prime example of how the forums provide an open arena for all industry players to express their views on a wide range of significant issues.
Keep your thoughts and opinions rolling in!
7. Young joyriders lead police on low-speed forklift chase
MEDFIELD, MA, United States
Two youths stole a forklift and led police on a pursuit through suburban streets before diving off the machine, sending it careering into a police car, and fleeing on foot.
The machine, which the Boston Herald said was a Lull 644 telescopic handler, was stolen from a construction site at a local school in the early hours of July 18.
Residents called police after seeing two boys ram the machine through a locked gate and drive it down suburban streets at about 1am.
A police car intercepted the forklift, but the youths jumped from the moving vehicle and ran off into woodlands.
As the police officer leapt out and chased after the youths, the forklift slammed into his car.
The youths, both aged 20, surrendered to police the next day.
9. Propane systems meet new EPA emission rules, research finds
WASHINGTON, DC, United States
Preliminary research by the Propane Education & Research Council (PERC) has revealed that today's propane fuel systems meet the US Environmental Protection Agency's (EPA) forthcoming emission rules.
The EPA regulations, which come into force in 2007, introduce strict controls over the emission of hydrocarbons and nitrogen oxides, PERC executive director Brian Feehan said.
"In order to meet the standards, forklift engines must perform at an order of magnitude better than current systems," he said.
"These results are important because they demonstrate that inexpensive fuel systems available today can achieve these new standards by using newer high-tech controllers, ensuring that propane can remain a clean and cost-effective fuel for forklifts."
The research conclusions were drawn from the initial phase of a USD1.39-million research study funded by the propane industry to assess fuel system technologies and fuel quality issues for large spark-ignited, non-road engines.
Conducted at the Southwest Research Institute in San Antonio, Texas, the tests analysed closed-loop carburetion, incorporating three different forklift catalysts.
Researchers were now conducting the critical durability testing on the systems, Feehan said.
ITA executive director Bill Montwieler said the ITA "appreciated" the PERC and Southwest Research Institute's research.
"The EPA emission regulations set challenging standards that engines must meet over their useful lives under actual-use conditions," he said.
"(These) results, although based on testing new engines using controlled fuel, nonetheless represent impressive advances that reflect a substantial commitment of resources from many stakeholders.
"The next critical challenge will be to develop systems that can meet EPA's durability requirements under the variable conditions of actual use."
10. C&D buys out Datel for USD74.6m
BLUE BELL, PA, United States
Forklift battery manufacturer C&D Technologies has acquired DC/DC converter maker Datel Inc for USD74.6 million.
C&D's purchase was funded with USD66.1 million in cash and included the assumption of about USD8.5 million of Datel's debt.
C&D president and CEO Wade Roberts said buying Massachusetts-based Datel would give his company an "expanded international footprint" as well as access to OEM customers.
"We are pleased to have quickly closed this transaction, which significantly bolsters our market presence in the electronics power industry," he said.
"Now, we can focus on integrating the newly-acquired operations in a way that maximises our expanded product portfolio, international presence and manufacturing infrastructure."
- C&D Technologies website -
11. Runaway bear's adventure ends with a forklift ride
STEVENS POINT, WI, United States
A young black bear that frightened and amused a suburban community for hours was finally sedated and transported back to a nature reserve aboard a forklift.
Authorities shot tranquiliser darts into the two-year-old bear after it had spent more than 16 hours up a tree.
Rangers told the Stevens Point Journal the 140-pound (63.5kg) bear wandered away from the Schmeekle Reserve and climbed up a tall tree in the early hours of the morning.
Fearing injuring the bear, authorities initially decided to wait for the bear to climb down on its own, but the arrival of a large crowd watching the spectacle scared the animal.
At one point, onlookers yelled at the bear, prompting it to climb so far up the tree that the tree was wobbling, an onlooker said.
A wildlife services officer eventually fired two tranquiliser darts into the frightened animal, which was then dragged onto a forklift and driven home to its nature reserve.
1. Toyota Material Handling, U.S.A. introduces new stand-up rider lift trucks
IRVINE, Calif., United States - Toyota Material Handling, U.S.A., Inc. (TMHU), the leading lift truck supplier in the United States, today introduced its new 7-Series Electric Stand-Up Rider Counterbalance lift trucks. Available in 3,000 lb. to 5,000 lb. capacities, the new line is exceptionally rugged and durable while providing technological advancements and ergonomic enhancements that reduce noise, improve performance and increase operator comfort.
Built on a heavy-duty 5,000 lb. chassis, Toyota's new Stand-Up Rider lift trucks feature independent, function-specific motors for optimum performance. These separate, task-specific motors operate more efficiently than multi-purposed single motor configurations. They operate cooler by generating less...
Erika Price Schulte
Toyota Material Handling, U.S.A, Inc.
Click here for the full text of this release, including pictures.
2. ULH brings new products to market
Unit Load Handling (ULH) of Friendswood, Texas, USA has signed distribution agreements with ATIB srl of Italy, Shulte-Henke Gmbh and Durwen Gmbh of Germany to distribute standard and custom designed forklift attachments in the USA. The products of these companies are manufactured for ULH and sold under the Unit Load Handling label. The products are customized for the US marketplace and some bring new features not seen before in the US.
ATIB manufactures a broad selection of standard clamps, carton clamps, positioners, rotators, push pulls and uprights with capacities ranging from under 2000 lb all the way up through the larger,...
Unit Load Handling
2301 South Mission Cir.
Friendswood, TX 77546
Click here for the full text of this release, including pictures.
|In the Discussion Forums|
|Know any tricks?|
"I just purchased a used Clark air tire, propane lift with a Continental 4 cyl engine. It has no ID or model number plate that I can find. Anyone have a way to identify what it is so I can get parts? Everyone wants a model number and/or serial number."
Oldenuff, United States
A good point - what do you think?
"There is a real risk that if the park brake is not applied, the operator could knock the truck into gear. It's about time employers started to enforce safe practices and not wipe their hands of responsibility when an operator has an accident."
Rothon, United Kingdom
Any legal eagles out there? Join in!
"It is about time employers were made to take responsibility for the way operators behave, as when an accident happens the operators are quick to file a law suit against the manufacturer and the employer seems to get away with a small fine from OSHA."
Rothon, United Kingdom
A great discussion emerging here!
"Who are the dumping claimants? As Jungheinrich (MIC) was a giant, Jungheinrich must be a claimant, or the claimants could not represent 60% of market/supply. But, Jungheinrich now plans to have a 25% stake in Xilin/Ningbo-Ruyi I don't think Jungheinrich chokes itself. Then, whom would you guess?"
|1. PPM, a division of Terex, has produced its 37,000th machine, marking the achievement with an open day at its factory in Montceau-les-Mines, France.|
2. The Material Handling Industry of America (MHIA) has set the date for its Annual Membership & Product Sections & Councils meeting as September 18-22.
3. The Material Handling Industry of America (MHIA) has released its latest Segment Brief, detailing the progress of the US materials handling industry. More details next issue.
4. JLG Industries has launched ServicePLUS, a subsidiary which will provide service from preventive maintenance to machine reconditioning.
5. Toyota Material Handling, U.S.A. introduces new stand-up rider lift trucks
6. ULH brings new products to market
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