Description of Industries and Summary of Findings

INDUSTRY 3743, RAILROAD EQUIPMENT

This industry is made up of establishments primarily engaged in building
and rebuilding locomotives (including frames and parts, not elsewhere
classified) of any type or gauge; and railroad, street, and rapid transit
cars and car equipment for operation on rails for freight and passenger
service. Establishments primarily engaged in manufacturing mining cars are
classified in industry 3532. Repair shops, owned and operated by railroads
or local transit companies, repairing locomotives or cars for their own use
are classified in Transportation, Major Groups 40 and 41. Establishments
primarily engaged in repairing railroad cars on a contract or fee basis are
classified in Transportation, Industry 4789; and those repairing locomotive
engines on a contract or fee basis are classified in Services, Industry
7699.

The 1992 definition of this industry is the same as that used in the 1987
Standard Industrial Classification (SIC) system. The SIC number and title
also are the same.

In the 1992 Census of Manufactures, Industry 3743, Railroad Equipment, had
employment of 28.2 thousand. The employment figure was 28 percent above the
22.1 thousand reported in 1987. Compared with 1991, employment increased 7
percent. The 1991 data are based on the Census Bureau's annual survey of
manufactures (ASM), which is a sample survey conducted each year between
censuses.

The leading States in employment in 1992 were Illinois, New York,
Pennsylvania, and Texas. This represents a shift from 1987 when Illinois,
New York, Ohio, and Pennsylvania were the leading States.

The total value of shipments for establishments classified in this industry
was $4.6 billion.

Establishments in virtually all industries ship secondary products as well
as products primary to the industry in which they are classified and have
some miscellaneous receipts, such as resales and contract receipts.
Industry 3743 shipped $4.1 billion of railroad equipment products
considered primary to the industry, $234.8 million of secondary products,
and had $239.1 million of miscellaneous receipts, resales, and contract
work. Thus, the ratio of primary products to the total of both secondary
and primary products shipped by establishments in this industry was 95
percent (specialization ratio). In 1987, the specialization ratio was 88
percent.

Establishments in this industry also accounted for 99 percent of products
considered primary to the industry no matter where they were actually
produced (coverage ratio). In 1987, the coverage ratio was 96 percent.

The products primary to industry 3743, no matter in what industry they were
produced, appear in file MC92F6A and aggregate to $4.2 billion. For further
explanation of specialization and coverage ratios, see file MC92F5B and the
appendixes.

The total cost of materials, services, and fuels and energy used by
establishments classified in the railroad equipment industry amounted
to $2.7 billion. Data on specific materials consumed appear in file MC92F7.

Single-establishment companies in this industry with less than 5 employees
were excluded from the mail portion of the census. The data for these
establishments (and a small number of larger establishments whose reports
were not received at the time the data were tabulated) were obtained from
administrative records of other agencies or developed from industry
averages. These establishments accounted for 5 percent of the total value
of shipments.