PMA releases business conditions report.
Press Release Summary:
According to December 2007 Business Conditions Report, metalforming companies have positive outlook as they head into 2008. When asked what they expect trend in general economic activity to be over next 3 months, 20% reported conditions will improve, 50% anticipate activity will remain the same, and 30% expect decline in business conditions. In addition, 33% of companies expect incoming orders to increase in next 3 months, while 37% anticipate no change, and 30% forecast decrease.
Original Press Release:
Business Conditions Report: December 2007
CLEVELAND, OH-December 18, 2007-According to the December 2007 Precision Metalforming Association (PMA) Business Conditions Report, metalforming companies have a more positive outlook as they look ahead to the beginning of 2008. Conducted monthly, the report is an economic indicator for manufacturing, sampling 148 metalforming companies in the United States and Canada.
When asked what they expect the trend in general economic activity to be over the next three months, 20% of participants reported that conditions will improve (up from 15% in November), 50% anticipate activity will remain the same (up from 47% the previous month) and 30% expect a decline in business conditions (down from 38% in November).
Metalforming companies also expect incoming orders to improve during the next three months. Thirty-three percent of companies predict an increase in orders (up from 26% in November), 37% anticipate no change (compared to 36% last month) and 30% forecast a decrease in orders (down from 38% in November).
However, current average daily shipping levels compared to the past three months dipped in December. Only 24% of companies reported that shipping levels are above levels of three months ago (compared to 32% in November), 43% reported no change (up from 38% in November) and 33% reported that December shipping levels are below levels of three months ago (up from 30% in November).
The number of metalforming companies with a portion of their workforce on short time or layoff increased to 18% in December, up from the 13% reported in November.
"While some members reported a slowdown in current shipments as of the beginning of December, the overall outlook for the first quarter of 2008 is more positive than one might expect with many economic forecasters on the fence about whether or not the economy is slipping into a recession," commented William E. Gaskin, PMA president. "Seventy percent of PMA members expect shipments in the next three months to be stronger or the same as current levels."
The monthly Business Conditions Report has been conducted by PMA since 1979. Full report results are available at pma.org/about/stats/BCreport. PMA is the full-service trade association representing the $91-billion metalforming industry of North America-the industry that creates precision metal products using stamping, fabricating and other value-added processes. Its nearly 1200 member companies include metal stampers, fabricators, spinners, slide formers and roll formers as well as suppliers of equipment, materials and services to the industry. Members are located in 30 countries, with the majority found in North America-in 41 states of the United States as well as Canada and Mexico.
Contact:
Christie Carmigiano
Government, Safety & Public Affairs Manager
Precision Metalforming Association
Phone: 216/901-8800
Fax: 216/901-9190
E-mail: ccarmigiano@pma.org
Web site: www.pma.org
