Economy
Metalformers Forecast Steady Business Conditions
Written by Sandy Williams
August 24, 2017
Manufacturers in the precision metalforming sector are not expecting much change in business conditions during the next three months, although orders are expected to trend slightly downward, according to the August 2017 Precision Metalforming Association (PMA) Business Conditions Report.
Current average daily shipping levels dropped significantly in August with 28 percent reporting levels above those of three months ago, compared to 44 percent in the July report.
Only 3 percent of metal forming companies reported workforce on short time or layoff in August, compared to 5 percent in July.
“Our survey sees some softening in business conditions in the coming months, though overall the outlook remains stronger than last year at this time,” said PMA President Roy Hardy. “There is a noticeable uptick in members who believe economic activity in general, and incoming orders in particular, may be set for a small decline.”
“The administration’s delayed Section 232 review of steel imports is without question creating uncertainty and contributing to this increasingly cautious business outlook. Metalforming companies will see significant cost increases to their most essential inputs if tariffs are slapped on incoming product. We strongly urge the administration to consider the impact of its actions on small and medium-sized manufacturers across the country before it goes forward.”
The PMA report is a monthly economic indicator for manufacturing, sampling 103 metalforming companies in the United States and Canada in August.
Sandy Williams
Read more from Sandy WilliamsLatest in Economy
Chicago PMI decreases 4.1 points in May
The Chicago Business Barometer reports that decreases in new orders, order backlogs, and softer production pulled the index down by 4.1-points to 40.5, in May.
Architecture firms struggle through April
For the third month in a row, architecture firms reported a reduction in billings through April, according to the latest Architecture Billings Index release.
House committee blocks GOP budget proposal
The budget proposal has big implications for steel and manufacturing.
Manufacturing in New York state contracts again in May
Manufacturing activity in New York state declined for the third consecutive month, according to the May Empire State Manufacturing Survey from the Federal Reserve Bank of New York. Responding firms continue to forecast weaker business conditions in the coming months.
Chicago Business Barometer falls back in April, remains in contraction
The Chicago Business Barometer declined in April, reversing March’s gains, according to Market News International (MNI) and the Institute for Supply Management (ISM).