Optimism Increases for Metalforming Business Conditions

Metalforming manufacturers continue to be positive about business activity according to the February 2024 Precision Metalforming Association (PMA) Business Conditions Report. In fact, PMA's most recent report indicates optimism is rising. 

For the third month in a row there was an increase in the number of manufacturers who expect further increases in business activity. Twenty-three percent of respondents to PMA's survey on business conditions indicated as such; in the January report 20% said they were expecting a rise in business activity over the next 3 months. 

Meanwhile, 61% of metalformers indicated they expect no change in activity (up slightly from the 60% who said as such the previous month) and just 16% are anticipating a decline in activity which is down from the 20% of respondents in January that said they expected declines. 

According to the February report, metalformers are also expecting an improvement in orders over the next 3 months, with 40% indicating as such. This is up from the 34% who said in January they anticipated higher orders. 

Just under half of respondents, 48%, expect no change in activity which is up from the 45% who said the same in January. And fewer metalformers, 12%, expect orders to decline than the previous month when 20% said they were predicting declines. 

Also benefitting metalformers' positivity in February was the spike in average daily shipping levels which occured. PMA's report shows 31% of metalformers saw increased shipping levels which was a strong improvement from the 16% who had the same experience in January. 

Those who reported no change in activity went down to 39% from 44% in January while 30% reported a decline in shipping levels, a decrease from the 40% who said the same the previous month. 

Overall, sentiments are positive for the metalformers market, an important customer segment for the fluid power industry.