May 12, 2026
NEMA Survey Reflects Improving Industry Momentum
Manufacturers express cautious optimism despite ongoing geopolitical and cost concerns
Each month, the National Electrical Manufacturers Association (NEMA) publishes the Electroindustry Business Confidence Index (EBCI), a monthly survey designed to gauge business sentiment among North American electrical equipment manufacturers, including many major lighting companies. Think of it as a quick pulse check: are manufacturers feeling better or worse about conditions than they did last month, and what do they expect six months from now?
April brought a meaningful improvement in current conditions. The Current Conditions component climbed to 50.0, up from 44.0 in March, reaching the expansionary threshold for the first time in recent months. The split was even between those reporting better and worse conditions, with a large share of respondents indicating things were essentially unchanged. Respondents described generally steady activity with pockets of strength, while noting ongoing uncertainty tied to geopolitical tensions and cost pressures.
Forward-looking sentiment was notably more optimistic. The Future Conditions component rose to 70.5, with nearly six in ten respondents expecting improvement over the next six months. That's a solidly expansionary reading. Respondents acknowledged that political uncertainty and costs remain real concerns, but the prevailing view leaned toward steadier or improving conditions ahead.
Unspoken Data Center Caveat
One nuance worth noting: the NEMA report makes no mention of data centers, which have been a significant driver of electrical infrastructure demand. NEMA's membership spans the broader electroindustry like switchgear and power distribution.
It's reasonable to ask whether manufacturers with heavy exposure to data center electrical infrastructure are pulling the composite index higher, and whether that optimism translates equally to lighting. Data centers are not historically known as robust sources of high-margin architectural or commercial lighting project orders. Lighting-specific readers should interpret the six-month outlook accordingly.
Methodology: The EBCI is based on monthly surveys of senior managers at NEMA member companies, designed to gauge the business environment of the electroindustry across North America. Readings above 50 indicate expansionary conditions for the sector.
