September 2020 Business Conditions Report: Small uptick in metal formers’ optimism, but challenges continue

Metal forming companies predict a small improvement in business conditions during the next three months, according to the September 2020 Precision Metalforming Association Business Conditions Report. Prepared monthly, the report provides an economic indicator for manufacturing, sampling 109 metal forming companies in the U.S. and Canada.

The report shows that 40% of metal forming companies predict an improvement in economic activity during the next three months (a slight increase from 38% in August), 49% expect no change (compared to 45% last month), and 11% anticipate a decline in activity (a decrease from 17% in August).

The survey also revealed that metal formers experienced a slight uptick in current average daily shipping levels in September, with 59% reporting an increase in shipping levels compared to three months ago (up from 52% in August), 22% reporting no change (compared to 21% in August), and 19% reporting a decrease (down from 27% in August).

The survey also showed little change in incoming orders, with 50% of participants predicting an increase in orders during the next three months (compared to 55% in August), 37% forecasting no change (an increase from 33% in August), and 13% reporting a decrease (compared to 12% in August).

Only 23% of responding metal forming companies had a portion of their workforce on short time or layoff in September, a decrease from 37% in August.