Manufacturers of metalformed products’ March forecast on upcoming activity declined after moderate optimism that began in February, according to a monthly report form the Precision Metalforming Association (PMA).

Prepared monthly, PMA’s report provides an economic indicator for the next three months of manufacturing, sampling 103 metalforming companies in the U.S. and Canada.

PMA’s March report showed that 23% of surveyed manufacturers predict an increase in economic activity in the next three months (down from 32% in February), 54% expect no change in activity (compared to 55% in February) and 23% anticipated a decrease in activity (up from 13% last month).

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Metalformers also forecast a decline in incoming orders:

• 24% of survey respondents expect a decrease in orders during the next three months (compared to 13% in February);
• 40% predict no changes in orders (compared to 43% last month), and;
• 36% expect an increase in order (down from 44% last month).

Current average daily shipping levels moderated in March after spiking in February, with 35% reporting an increase in shipping levels (up from 30% in February), 40% report no change (compared to 51% in January) and 25% reporting a decrease in levels (19% in February).

The survey also showed that 12% of respondents reported a portion of their workforce on short time or layoff in March (up 8% from February), 34% reported that they are expanding their workforce (unchanged from the prior month) and 14% reported an increase in lead times in March (up from 8% in February).

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“The decline in metalforming manufacturers’ outlook this month reflects ongoing uncertainty in the market, some of which is tied to evolving trade policy,” PMA President David Klotz said in the release. “Tariffs — including the Section 232 steel and aluminum tariffs, as well as the potential for new tariffs on imports from Canada and Mexico, and possibly on copper — remain a concern for our members. The Section 232 tariffs are creating supply challenges and driving up the cost of all steel — imported and domestic — for manufacturers. We urge the Trump administration to implement a robust, functional and transparent derivatives process for Section 232 tariffs to ensure that all segments of the manufacturing industry — not just domestic steel producers — are protected and able to compete on a level playing field.”

Find the full March PMA Business Conditions Report here.