OEMs
Metalformers’ Pessimism Grows on UAW Strike Concerns
Written by Laura Miller
September 29, 2023
Pessimism grew among metalformers in September’s business report from the Precision Metalforming Association (PMA). The leading factor in the growing negative sentiment: the possibility of a prolonged United Auto Workers (UAW) strike.
Half of the surveyed metalforming companies expect a downturn in business conditions in the coming months. That figure is up from 29% the month before. Still, 42% are anticipating no change in activity. Just 8% expect better business activity.
Nearly half (47%) of metalformers also predict a decline in incoming orders, up notably from 28% in August.
More metalformers reported higher average daily shipping levels in September – 23% vs. 16% in August. The number reporting no change in shipping levels was unchanged month to month at 42%, PMA said.
“PMA has many members who supply the automotive sector, and the prospects of a prolonged labor strike against the major automakers certainly is reflected in this month’s Business Conditions Report,” PMA president David Klotz in a statement.
“PMA members hope that both sides reach an agreement as soon as possible to avoid further disruption to the economy,” he added.
The PMA represents stampers, fabricators, roll formers, and other value-added processors. Its monthly Business Conditions Report samples 98 metalforming companies in the US and Canada. The report serves as an economic indicator for manufacturing.
Laura Miller
Read more from Laura MillerLatest in OEMs
ISM: Manufacturing growth slowed again in June
US manufacturing activity slowed for a fourth straight month in June. That's a sharp shift after trending up for most of Q1.
GE Appliances announces $490M reshoring project in Kentucky
GE Appliances announces $490-million reshoring project in Kentucky.
Whirlpool says tariffs will bolster business
“Economically, the business case for products made in the us has become a lot more attractive," the CEO told Fox Business.
Galvanized buyers brace for market shifts amid rising tariffs
One buyer summed up the prevailing sentiment: “Everything is pointing up — pricing, sentiment, order activity. But the real test will come once the immediate reactionary buying subsides. Will there be enough true demand to support these levels through mid-year? That’s the big unknown.”
Galvanized buyers see glimmers of optimism amidst the chaos
Reflecting on 2024 and looking ahead to the new year, galvanized steel buyers on this month’s HARDI call expressed a mix of cautious optimism with lingering uncertainties.