Economy
PMA Survey Shows Little Change for Short-term Business Conditions
Written by Sandy Williams
April 19, 2015
Respondents in the April 2015 Precision Metalforming Association (PMA) Business Conditions Report found little to get excited about for the coming months.
A third of participants in the monthly survey expect improved economic activity during the next three months but 58 percent forecast no change. Incoming orders are expected to remain steady during the period.
Average daily shipping levels improved in April compared to three months ago according to 46 percent of participants and 40 percent said they were the same.
Seven percent of metalforming companies had workforce on short-time or layoff in April, down from 10 percent in March and 8 percent a year ago.
“Business conditions in the metalforming industry seem to accurately reflect the current state of the U.S. economy—generally okay, with pockets of disappointment (mining, heavy equipment, segments of construction) and pockets of opportunity (aerospace, home and commercial electronics, automotive and appliances),” said William E. Gaskin, PMA president.
“Fabricated metal products, as a segment of overall manufacturing, finished Q-1 2015 with average growth of 2.7%, according to the Federal Reserve, while PMA’s orders and shipments data indicates that typical PMA members have experienced one to two percent growth year-to-date for 2015 vs. 2014. Continued growth in regulatory burdens, lack of clear tax policy supporting manufacturing on the part of Congress and the strong U.S. dollar are all headwinds impacting PMA’s membership. However, the April Business Conditions Report indicates continued firming in expectations for shipments over the next three months, which is a positive trend.”
Sandy Williams
Read more from Sandy WilliamsLatest in Economy
Multi-family pullback drives housing starts to 5-year low in May
US housing starts tumbled in May to a five-year low, according to figures recently released by the US Census Bureau.
Architecture firms still struggling, ABI data shows
Architecture firms reported a modest improvement in billings through May, yet business conditions remained soft, according to the latest Architecture Billings Index (ABI) release from the American Institute of Architects (AIA) and Deltek.
Manufacturing in New York state contracts again
However, companies are growing more optimistic about the future.
ArcelorMittal plans wire-drawing closure in Hamilton, shifts production to Montreal
ArcelorMittal’s (AM) Hamilton location to be shuttered, wire production shifting to Montreal.
Beige Book finds growing economic, policy uncertainty
All districts reported "hesitancy and a cautious approach to business and household decisions,” according to the Beige Book.