Economy
PMA: Metalforming Companies Optimistic About Q1
Written by David Schollaert
January 28, 2022
The next three months look favorable for metalforming companies, according to the January 2022 Precision Metalforming Business Conditions Report. Only 7% of companies predict a decrease in economic activity during the period, down from 16% in December.
The report shows that 37% of metalforming companies anticipate an increase in activity, up from 27% in the previous month. And 56% expect no change, down slightly from 57% in December.
The percentage of respondents reporting an increase in lead times dropped to 46% in January from 50% last month, while average daily shipping levels rose slightly in January. More importantly, metalformers are bullish in regard to new orders, as they expect an improvement during the next three months.
“‘Perseverance’ is a word that defines PMA members,” PMA President David Klotz said. “Despite the challenges of raw material shortages, supply chain disruptions, workforce retention issues and, of course, a global pandemic, our members continue to manufacture the products and parts needed to keep the economy moving.”
Companies with a portion of their workforce on short time or layoff in January was 4%, up slightly from 2% the month prior.
“Members are beginning the year with optimism for our industry and the economy. Hopefully, our elected leaders in Washington, D.C., will enact policies that grow our manufacturing base and help our members continue to provide jobs and economic benefits to local communities across the country,” Klotz said.
About the report: The Precision Metalforming Association’s monthly report provides an economic indicator for manufacturing, sampling 111 metalforming companies in the United States and Canada.
By David Schollaert, David@SteelMarketUpdate.com
David Schollaert
Read more from David SchollaertLatest in Economy
New York state manufacturing index drops again in April
Firms were pessimistic, with the future general business conditions index falling to its second lowest reading in the more than 20-year history of the survey
Construction adds 13,000 jobs in March
The construction sector added 13,000 jobs, seasonally adjusted, in March, but tariffs could undermine the industry.
Supply chains, end-users brace for impact from tariffs
Supply chains are working through what the tariffs mean for them
ISM: Manufacturing expansion loses steam after two months of growth
US manufacturing activity slowed in March after two straight months of expansion, according to supply executives contributing to the Institute for Supply Management (ISM)’s latest report.
Chicago Business Barometer rose to 16-month high in March
The Chicago Business Barometer increased for the third-consecutive month in March. Despite this, it still reflects contracting business conditions, as it has since December 2023.