Automotive / Aerospace / Industry Headlines

Business Conditions Report: January 2014

January 16, 2014
/ Print / Reprints /
ShareMore
/ Text Size+

CLEVELAND, OH — According to the January 2014 Precision Metalforming Association (PMA) Business Conditions Report, metalforming companies expect an upswing in business conditions during the next three months.  Conducted monthly, the report is an economic indicator for manufacturing, sampling 117 metalforming companies in the United States and Canada.

 

The January report shows that 46% of participants predict that economic activity will improve during the next three months (up from 41% in December), 47% anticipate that activity will remain unchanged (compared to 46% last month) and only 7% believe that economic activity will decline (down from 13% in December).

                                 

Metalforming companies also forecast a spike in incoming orders during the next three months, with 54% anticipating an increase in orders (up significantly from 43% in December), 41% expecting no change (compared to 43% in December) and five percent predicting a decrease in orders (compared to 14% in December).

 

Current average daily shipping levels also improved.  Thirty-five percent of participants report that shipping levels are above levels of three months ago (up from 31% in December), 45% report that shipping levels are the same as three months ago (compared to 43% last month), and 20% report a decrease in shipping levels (down from 26% in December).

 

The percentage of metalforming companies with a portion of their workforce on short time or layoff dropped to six percent in January, down from nine percent in December.  The January 2014 figure is at its lowest level since June 2000 when metalformers reported only three percent of their workforce on short time or layoff. 

 

“PMA member companies are anticipating rising orders and shipments for Q-1 2014,” said William E. Gaskin, PMA president.  “Metalforming companies averaged about five-percent growth in orders and two-percent growth in shipments during 2013, with shipments starting soft and improving in Q-2 and Q-3, with a flat Q-4.  This was opposite of the 2012 pattern, when companies had a strong first half and then drifted down, ending flat for the year.  Continued strong auto production and the general sense that fundamentals are improving somewhat indicate that growth in shipments by three to six percent are possible.”

 

The monthly Business Conditions Report has been conducted by PMA since 1979.  Full report results are available at http://www.pma.org/public/business_reports/pdf/BCREP.pdf. 

Did you enjoy this article? Click here to subscribe to Quality Magazine. 

You must login or register in order to post a comment.

Multimedia

Videos

Podcasts

 In honor of World Quality Month, we spoke to James Rooney, ASQ Past Chairman of the Board of Directors 2013, for his take on quality around the world.
For more information, read the ASQ Speaking of Quality column.
More Podcasts

THE MAGAZINE

Quality Magazine

cover_image

2014 April

Check out the April 2014 edition of Quality Magazine for features!
Table Of Contents Subscribe

Manufacturing Process

Has/does news about a manufacturers’ recall (like the GM recall in the news now) cause you or your company to reexamine its manufacturing process?
View Results Poll Archive

Clear Seas Research

qcast_ClearSeas_logo.gifWith access to over one million professionals and more than 60 industry-specific publications,Clear Seas Research offers relevant insights from those who know your industry best. Let us customize a market research solution that exceeds your marketing goals.

eNewsletters

STAY CONNECTED

facebook_40.png twitter_40px.png  youtube_40px.pnglinkedin_40px.png