Economy

PMA: Business Activity to Remain Steady

Written by Sandy Williams


Members of the Precision Metalforming Association are expecting business conditions to remain steady for the rest of the year. A survey of 110 metalforming companies in the U.S. and Canada showed 28 percent of participants believe economic activity will improve, 62 percent expect no change (same as last month) and 10 percent expect a decline in activity. Incoming orders are expected to remain at current levels.

Average daily shipping levels increased during September with 53 percent reporting shipping levels as higher compared to 32 percent in August. Levels were perceived as unchanged by 34 percent versus 44 percent in August, and 13 percent reported a decrease in shipping levels, down from 24 percent.

“Our members remain resilient, as evidenced by little change in their outlook for economic activity and incoming orders month to month,” said PMA President Roy Hardy. “However, members also continue to report higher steel prices and longer lead times as a result of the Section 232 steel tariffs and are concerned about their ability to compete with companies in Europe and Asia if the tariffs are not rescinded.”

Only 3 percent of metalforming companies reported a workforce on short time or layoff, down from 4 percent in August and 4 percent a year ago.

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