Data: Metalformers Voice 2025 Optimism for Business Conditions - Modern Distribution Management

Data: Metalformers Voice 2025 Optimism for Business Conditions

PMA latest Business Conditions Report shows 35% of surveyed metalforming manufacturers predict an increase in economic activity this quarter.
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Manufacturers of metalformed products shared optimism on upcoming economic activity that, if it comes to fruition, would continue an upward trend in business conditions for the segment that began in October 2024, according to a monthly report from the Precision Metalforming Association (PMA).

Prepared monthly, PMA’s report provides an economic indicator for the next three months of manufacturing, sampling 107 metalforming companies in the United States and Canada.

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PMA’s January report shows that 35% of surveyed manufacturers predict an increase in economic activity in the next three months (up from 30% in December 2024, 23% in November and 13% in October), 54% expect no change in activity (compared to 49% in December) and 11% anticipate a decrease in activity (down from 21% in December).

Metalformers also forecast a spike in incoming orders:

  • 49% of survey respondents expect an increase in orders during the next three months (compared to 34% in December),
  • 38% predicting no change in orders (compared to 47% last month), and;
  • and 13% anticipating a decrease in orders (down from 19% in December).

Current average daily shipping levels rebounded slightly in January after dropping in December, with 36% reporting a decrease in shipping levels (down from 45% in December), 52% reporting no change (compared to 39% last month) and 12% reporting an increase in levels (compared to 16% in December).

The survey also showed no change between December 2024 and January 2025 in the percentage of respondents reporting a portion of their workforce on short time or layoff (12%), the percentage reporting that they are expanding their workforce (24%), and the percentage reporting an increase in lead times (5%).

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“Our members are optimistic that the new administration and Congress will take steps to strengthen domestic manufacturing, reduce unnecessary regulations, and reinstate important business tax incentives that encourage research and development and capital equipment purchases,” said PMA President David Klotz. “PMA’s advocacy team in Washington, D.C., is urging policymakers to avoid adopting a tariff policy that protects only one part of the supply chain at the expense of downstream users, as a true economic revitalization must support both upstream and downstream manufacturing industries.”

Find the full December PMA Business Conditions Report here.

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