July 2021 Business Conditions Report: Metal Formers Still Battle Supply ChallengesJuly 28, 2021
Metal forming companies anticipate little change in business conditions during the next three months, according to the July 2021 Precision Metalforming Association (PMA) Business Conditions Report. The report reveals that 36 percent of metal forming companies forecast an improvement in economic activity in the next three months (the same percentage reported in June), while only 9 percent anticipate a decline in activity (decreasing from 12 percent in June).
However, the survey also reveals an expectation for a slight uptick in incoming orders in the next three months, with 42 percent forecasting an increase in orders (compared to 38 percent in June), and only 13 percent anticipating a decrease in orders (compared to 18 percent in June).
“PMA members continue to report significant problems in finding the raw materials needed to meet demand,” says PMA president David Klotz. “As we have been reporting, members are telling us that their lead times are extending into midyear of 2022 for steel, with similar challenges for aluminum, copper, brass and other metal alloys. Combined with continued difficulty in finding workers and the semiconductor shortage that has idled some auto plants, our members are facing a challenging environment. PMA, through its One Voice advocacy team in Washington, D.C., continues to press the Biden Administration to end the damaging Section 232 steel and aluminum tariffs to help increase supply, and to help the industry recruit workers by promoting awareness and training.”
See also: Precision Metalforming Association