Even slightly higher fuel costs won’t be good enough to slow growth in the RV industry. The truth is, RV deliveries could grow 9% to 263,100 units from 242,300 units in 2010, in accordance with the most recent prognostication by Richard Curtin, an economist at the University of Michigan.
The expected increases in 2011 follows the recovery that became predominant not too long ago when shipments accelerated 46% to 242,300 units from RV factories all over the country. RV manufacturers are hiring back laborers at a record pace. This is great news and a sign that our economic is recovering.
RV sales are spanning all sectors of the marketplace, which will be aided by an strengthening economy, the extension of income tax cuts and the reduction in payroll taxes. Industry experts cautioned that there may be a few factors that will moderate the development pace of RV sales, including slow job and income growth and continued weakness in the housing market.
Mr. Baker, director of communications for the Recreation Vehicle Industry Association (RVIA), said the recovery won’t be affected by moderate increases in fuel prices. “Fuel isn’t that huge of a factor provided that it’s available,” he said, adding that many owners take fifth wheels or travel trailers to a location and then park them.
Nevertheless, if fuel tops $5.00, all bets are off considering that the economy will probably also suffer, Baker said.
The continuing rebound in the industry is great news in Elkhart County and surrounding areas, where thousands of workers are getting work done in the industry. Officials have had their fingers crossed that the rebound is lasting.
RV experts are hoping that deliveries will reach around 270,000 units in 2011, which is extremely good. Especially if you consider in 2009 RV deliveries were around 160,000 units.
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