August 2020 PMA Business Conditions Report: Members Remain CautiousAugust 20, 2020
Metal forming companies report a slight improvement in business conditions but continue to anticipate challenges during the next three months, according to the August 2020 Precision Metalforming Association (PMA) Business Conditions Report. The report finds that 38 percent of metal forming companies predict an improvement in economic activity during the next three months (the same percentage reported in July), 45 percent expect no change (compared to 39 percent last month), and 17 percent anticipate a decline in activity (a decrease from 23 percent in July). They also forecast a slight uptick in incoming orders, with 55 percent expecting an increase in orders compared to three months ago (an increase from 52 percent in July), 33 percent anticipating no change in orders (compared to 28 percent in July), and only 12 percent predicting a decrease in orders (compared to 20 percent last month).
“While there are glimpses of improvement, the report shows the continued uncertainty that metal forming companies are experiencing due to the COVID-19 pandemic,” says PMA President David Klotz. “Our members are showing amazing resiliency but it’s clear that it will be some time before the economy fully recovers, and we expect there to be ups and downs the remainder of the year.
“PMA urges Congress and the White House to come together on an economic recovery package that reflects our members’ policy priorities: create long-term low-interest loans to purchase raw materials and equipment, business liability protection as they follow government guidelines, and an immediate claim of General Business Credits and expanding the Employee Retention Credit to Small Business Administration’s Paycheck Protection Program (PPP) recipients.”
See also: Precision Metalforming Association