Economy
Metalformers Expect Flat Business Conditions
Written by Sandy Williams
June 30, 2017
Metalforming companies are not expecting much change in business conditions in the next three months. The latest Precision Metalforming Association (PMA) Business Conditions Report indicates that only 34 percent of survey participants predict an improvement in general economic activity, while 58 percent predict no change.
Orders are expected to be steady or slightly better in the coming months. Current shipping levels were strong but unchanged from June.
Fewer companies reported workforce on short time or layoff in June: 2 percent compared to 5 percent last month.
“Our member companies remain concerned about possible tariffs on steel resulting from the Trump administration’s Section 232 national security investigation,” said Roy Hardy, PMA president. “Should additional tariffs be imposed on steel, U.S. metalforming companies will likely be at a significant cost disadvantage compared to their global competitors. We strongly encourage the administration to consider the entire steel supply chain when evaluating additional tariffs on steel imports.”
On a side note, Steel Market Update has the President Emeritus of the PMA, William Gaskin, participating on a free and fair trade panel at our 7th SMU Steel Summit Conference at the end of August. Mr. Gaskin will join Philip Bell of the Steel Manufacturers Association, Daniel Pearson of the Cato Institute (and former ITC chairman) and trade attorney Lewis Leibowitz as they discuss what “free and fair trade” means and how the actions of the Trump administration hurt or help manufacturers, service centers, trading companies and steel mills. You can find more information about the August 28-30, 2017, conference on our website. If you would like to join us in Atlanta, you can find information about the costs associated in attending and how to register at www.SteelMarketUpdate.com/events/steel-summit
Sandy Williams
Read more from Sandy WilliamsLatest in Economy
Fewer manufacturers optimistic about the economy
PMA’s April report shows that only 16% of surveyed manufacturers anticipate an increase in economic activity in the next three months (down from 23% in March)
Architecture billings continue to slide in March
Architecture firms said billings continued to decline in March, according to the latest Architecture Billings Index (ABI) released by the American Institute of Architects (AIA) and Deltek.
Beige Book shows concerns about trade policy
Manufacturing was mixed, but two-thirds of districts said activity was little changed or had declined.
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.