Analysis
NAICS 423840 is the 2022 national industry for industrial supplies merchant wholesalers, part of 42384 (Industrial Supplies Merchant Wholesalers). Census lists 60 example activities under it in the official index.
County Business Patterns counts 9,605 US establishments in this code in 2023, employing 114,267 people at an average annual payroll of $87,470 per employee (75th percentile of national industries). 46% of the establishments have fewer than five employees, which is close to the national mix.
Its index entries, the activities Census uses to assign businesses to this code, include abrasives merchant wholesalers, barrels, new and reconditioned, merchant wholesalers, bearings merchant wholesalers and belting, industrial, merchant wholesalers, among 60 in all.
For example, merchant wholesale distribution of hydraulic and pneumatic (fluid power) pumps, motors, pistons, and valves are classified in 423830 (Industrial Machinery and Equipment Merchant Wholesalers) instead.
Between 2018 and 2023 the number of establishments grew 5% and employment rose 7%. The 2018 count used NAICS 2017, so part of a large move can come from codes being redefined rather than from businesses opening or closing.
Census lists 2 related activities that belong elsewhere, most often in 423830 and 424690. Businesses that do several things are classified by their primary activity, the one that generates the most value, so check those boundaries before settling on this code.
Official definition
This industry comprises establishments primarily engaged in the merchant wholesale distribution of supplies for machinery and equipment generally used in manufacturing, oil well, and warehousing activities.
Illustrative Examples:
Industrial containers merchant wholesalers Industrial diamonds merchant wholesalers Printing inks merchant wholesalers Industrial sand merchant wholesalers Refractory materials (e.g., brick, blocks, shapes) merchant wholesalers Welding supplies (except welding gases) merchant wholesalers
Source: US Census Bureau, NAICS 2022 Manual.
Not this code if…
| The business mainly does | Use instead |
|---|---|
| Merchant wholesale distribution of hydraulic and pneumatic (fluid power) pumps, motors, pistons, and valves | 423830 Industrial Machinery and Equipment Merchant Wholesalers |
| Merchant wholesale distribution of welding gases and other industrial gases | 424690 Other Chemical and Allied Products Merchant Wholesalers |
Index entries (60)
- Abrasives merchant wholesalers
- Barrels, new and reconditioned, merchant wholesalers
- Bearings merchant wholesalers
- Belting, industrial, merchant wholesalers
- Bottles (except waste) merchant wholesalers
- Box shooks merchant wholesalers
- Boxes and crates, industrial (except disposable plastics, paperboard, waste), merchant wholesalers
- Brushes, industrial, merchant wholesalers
- Canning supplies merchant wholesalers
- Cartons (except paper and paperboard) merchant wholesalers
- Closures, industrial, merchant wholesalers
- Containers, industrial, merchant wholesalers
- Cooperage stock merchant wholesalers
- Cordage merchant wholesalers
- Cork merchant wholesalers
- Crowns and closures, metal, merchant wholesalers
- Diamonds, industrial, merchant wholesalers
- Drives and gears merchant wholesalers
- Drums, new and reconditioned, merchant wholesalers
- Excelsior (e.g., pads, wrappers) merchant wholesalers
- Fire hydrants merchant wholesalers
- Fittings, industrial, merchant wholesalers
- Gaskets merchant wholesalers
- Gears merchant wholesalers
- General-line industrial supplies merchant wholesalers
- Grommets merchant wholesalers
- Hose, industrial, merchant wholesalers
- Industrial containers merchant wholesalers
- Industrial diamonds merchant wholesalers
- Industrial leather products merchant wholesalers
- Industrial pottery products merchant wholesalers
- Industrial supplies (except disposable plastics, paper) merchant wholesalers
- Inks, printing, merchant wholesalers
- Lapidary equipment, industrial, merchant wholesalers
- Mechanical power transmission supplies (e.g., gears, pulleys, sprockets) merchant wholesalers
- Mechanical rubber goods merchant wholesalers
- Mill supplies merchant wholesalers
- Packaging materials merchant wholesalers
- Packing materials merchant wholesalers
- Pipe fittings and valves (except plumbing) merchant wholesalers