Report says metal formers’ outlook for business activity remains steady

Metal formers’ predictions about business activity showed little change over the previous month, according to the March 2024 Precision Metalforming Association (PMA) Business Conditions Report. Prepared monthly, the report provides an economic indicator for the next three months of manufacturing, sampling 97 metal forming companies in the U.S. and Canada.

The report shows that manufacturers responding to the survey anticipate that economic activity will be stable during the next three months, with 24% expecting an increase in activity (compared to 23% in February). Also, 60% forecast no change in activity (compared to 61% last month), and only 16% anticipate a decrease in activity (the same percentage reported in February).

Metal formers also forecast little change in incoming orders for the next three months, with 39% of survey respondents expecting an increase in orders during the next three months (compared to 40% in February), 45% predicting no change in orders (compared to 48% in February), and 16% anticipating a decrease in orders (increasing from 12% last month).

Current average daily shipping levels dipped in March after spiking in February, with 24% reporting an increase in shipping levels (compared to 31% in February), 44% reporting no change (compared to 39% in February), and 32% reporting a decrease in levels (up from 30% last month).

Lead times also remained steady, with 6% of metal forming companies reporting an increase in lead times in March (compared to 7% in February). Seven percent of companies had a portion of their workforce on short time or layoff in March (compared to 6% in February), while 36% of companies are currently expanding their workforce (decreasing from 44% in February).