PMA Business Conditions Report: Daily Shipping Levels DownJuly 27, 2022
Metal forming companies forecast little change in business conditions during the next three months yet continue to report a drop in daily shipping orders, according to the July 2022 Precision Metalforming Association (PMA) Business Conditions Report. Current average daily shipping levels dropped for the third consecutive month, with 28 percent of respondents reporting a decrease (up from 23 percent in June), and only 28 percent reporting an increase (down from 36 percent in June). Also, the percentage of metal forming companies anticipating a decrease in economic activity rose in July to 37 percent, up slightly from 35 percent in June, while 15 percent forecast an increase in activity, the same percentage reported last month.
The report also shows little change in expectations for incoming orders: 20 percent of survey respondents forecast an increase in incoming orders during the next three months (compared to 19 percent in June), and 32 percent anticipate a decrease in orders (compared to 30 percent in June).
“PMA’s July Business Conditions Report shows a modest change in overall conditions, but a concerning drop in daily shipping levels for the third straight month,” says PMA President David Klotz. “This reflects supply-chain challenges throughout the manufacturing sector. PMA’s advocacy team in Washington, D.C., continues to press our elected leaders and policymakers to take action. More than $5 billion in manufacturing-workforce training and research and development is included in the China competition bill now moving through Congress.
In addition,” Klotz adds, “I had the honor of testifying with several PMA members at the U.S. International Trade Commission hearing on how the Section 232 steel and aluminum tariffs affected U.S. industries. We highlighted in our testimony the problems our members are experiencing in obtaining steel and aluminum at globally competitive prices.”
See also: Precision Metalforming Association