We are now halfway through 2026. So how is the fluid power industry faring? Thus far, it seems like ‘okay’ would be the best way to describe market conditions for the hydraulics and pneumatics sector.

As of yet there have been no major upswings or downswings in business activity. The NFPA’s May order and shipment data for fluid power products shows there were declines during the month in shipments, but there is some positivity showing in orders, indicating relatively stable conditions.

Results from our new quarterly survey — included at the top of today’s newsletter — show readers feel relatively positive about market conditions as well. Of those who responded to our survey that ran from April-June 2026, 66% indicated they felt market conditions for the fluid power industry were currently positive.

However, this was down slightly from a survey we conducted at the beginning of the year when we asked readers about their expectations for 2026 in which 80% of respondents to that survey said they expected market conditions to be more positive for the fluid power industry in 2026.

This shift in outlook was not surprising given the war with Iran added new challenges for many during the second quarter. But our survey showed that many still see opportunities in various customer sectors and technological development areas, such as industrial automation which continues to grow and spark industry interest as was evident from the packed show floor at this year’s Automate Show.

How are you finding market conditions for the fluid power industry at the moment — positive, negative, or somewhere in between? What opportunity areas do you see for the industry? Take our new quarterly survey, or email me at [email protected] to offer your thoughts!

Sara Jensen, Editor, Power & Motion