There was little change in metalforming companies’ forecast for business conditions during the next three months, according to the February 2022 Precision Metalforming Association (PMA) Business Conditions Report. Prepared monthly, the report provides an economic indicator for manufacturing, sampling 103 metalforming companies in the United States and Canada.
PMA’s February report shows that 58% of metalforming companies expect no change in general economic activity in the next three months (increasing from 56% in January), 32% anticipate an increase in activity (compared to 37% last month) and 10% predict a decrease in activity (compared to 7% in January).
Forty-six percent of respondents reported an increase in lead times, the same percentage reported in January.
“PMA members recently met in Florida for PMA’s 2022 Forming Our Future conference where they had an opportunity to hear from industry experts, economists and our advocacy team in Washington, D.C.,” said PMA President David Klotz. “I heard first-hand reports from our members that they continue to experience steady business conditions but are very concerned about meeting demand because of the inability to find the materials they need due to supply chain disruptions.
“In addition, most PMA members reported job openings that they cannot fill. PMA is redoubling its efforts to assist members with initiatives to promote manufacturing careers, and help train and retain their workforce through METALFORM EDU and other programs.”
Metalformers also forecast steady incoming orders in the next three months, with 42% expecting an increase in orders (compared to 43% in January), 50% predicting no change (compared to 45% last month) and 8% anticipating a decrease in orders (compared to 12% in January).
Current average daily shipping levels rose slightly in February, with 45% of survey respondents reporting an increase (compared to 41% in January), 44% reporting no change (compared to 45% last month) and 11% reporting a decrease (compared to 14% in January).
Only two percent of responding metalforming companies had a portion of their workforce on short time or layoff in February, compared to four percent in January.
Full report results are available at https://www.pma.org/public/business_reports/pdf/BCREP.pdf.