Metal formers continue to experience supply shortages and other challenges, says report

Metal forming companies anticipate little change in business conditions during the next three months, according to the Precision Metalforming Association’s November 2021 “Business Conditions Report.” Prepared monthly, the report provides an economic indicator for manufacturing, sampling 105 metal forming companies in the U.S. and Canada.

PMA’s November report shows that 55% of metal forming companies predict no change in general economic activity in the next three months (increasing from 48% in October), 25% forecast an increase in activity (compared to 27% in October), and 20% expect a decrease in activity (compared to 25% last month).

Fifty-nine percent of respondents reported an increase in lead times, compared to 58% in October.

Metal formers expect a slight dip in incoming orders in the next three months, with 31% forecasting a decrease in orders (compared to 25% in October), 36% predicting no change (compared to 43% last month), and 33% anticipating an increase in orders (compared to 32% in October).

Current average daily shipping levels rose in November, with 49% of survey respondents reporting an increase (compared to 41% in October), 31% reporting no change (compared to 32% last month), and 20% reporting a decrease (compared to 27% in October).

Four percent of responding metal forming companies had a portion of their workforce on short time or layoff in November, the same percentage reported the previous two months.