In recent quarters, the automation markets have experienced continuing decline. While exchange rate fluctuations were responsible for much of the downward movements in 2015, the softening business conditions in the process industries have had the most significant impact.
The decline started in the upstream and midstream oil & gas sectors, but has now begun to affect the downstream refining and chemicals sector. On the positive side, discrete manufacturing automation markets are still in comparably good shape.
The last two quarters show signs that the worst part is over and automation markets will begin to recover. However, we do not expect to see as rapid increase as we observed in 2010-11.