CLEVELAND, Ohio — Metalforming manufacturers’ forecast for business activity during the next three months shows a modestly improved outlook, according to the November 2024 Precision Metalforming Association Business Conditions Report.
Prepared monthly, PMA’s report provides an economic indicator for the next three months of manufacturing, sampling 96 metalforming companies in the U.S. and Canada.
PMA’s November report shows that 23% of the manufacturers responding to the survey predict an increase in economic activity in the next three months (compared to 13% in October), 43% expect no change in activity (compared to 50% in October) and 34% anticipate a decrease in activity (slightly down from 37% last month).
Metalformers had a slightly more positive forecast for incoming orders, with 30% of survey respondents forecasting an increase in orders during the next three months (compared to 24% in October), 40% predicting no change in orders (compared to 42% last month) and 30% anticipating a decrease in orders (compared to 34% in October).
Current average daily shipping levels in November also trended upward with 26% reporting an increase in shipping levels (up from 10% in October), 41% reporting no change (compared to 57% last month) and 33% reporting a decrease in levels (the same percentage reported in October).
The survey also showed that 14% of respondents reported a portion of their workforce on short time or layoff in November (up from 12% in October), while 26% reported that they are currently expanding their workforce (down from 29% last month). Five percent of metalforming companies reported an increase in lead times in November (compared to 9% in October).
“Metalformers continue to demonstrate resilience despite economic uncertainty, driven in part by the delay in reinstating key tax provisions,” said PMA President David Klotz. “These include rolling back the tax on R&D expenditures, restoring the ability to fully deduct those costs and reestablishing 100% bonus depreciation. We urge the incoming Trump administration and the new Congress to make reinstating these critical tax incentives a top priority if the current Congress does not act during the lame-duck session. Resolving these issues would inject much-needed confidence and encourage strategic investments to strengthen domestic manufacturing — a central theme of both parties during the election campaign.”
Full report results are available at pma.org.
