Economic activity predicted to be steady as workforce expansion slows, says report

Metal forming manufacturers predict little change in economic activity over the next three months, a trend that has held steady since the start of the year, according to the April 2024 Precision Metalforming Association Business Conditions Report. Prepared monthly, the report provides an economic indicator for the next three months of manufacturing, sampling 99 metal forming companies in the U.S. and Canada.

The April report shows that 67% of the manufacturers responding to the survey forecast no change in general economic activity in the next three months (compared to 60% in March), 21% forecast an increase in activity (compared to 24% last month), and 12% anticipate a decrease in activity (down from 16% in March).

Metal formers also predict minor changes in incoming orders, with 54% of survey respondents expecting no change in orders during the next three months (compared to 45% in March), 33% forecasting an increase in orders (compared to 39% in March), and 13% anticipating a decrease in orders (compared to 16% last month).

Current average daily shipping levels remained steady in April, with 48% reporting no change in shipping levels (increasing from 44% in March), 21% reporting an increase in levels (compared to 24% last month), and 31% reporting a decrease in levels (compared to 32% last month).

Lead times also held steady, with 6% of metal forming companies reporting an increase in lead times in April (the same percentage reported in March). Eight percent of companies had a portion of their workforce on short time or layoff in April (compared to 7% in March), while only 26% of companies are currently expanding their workforce (dropping from 36% in March).