The latest report from the Precision Metalforming Association (PMA) shows growing optimism among metal forming companies. A survey of 96 companies reveals improved expectations for economic activity and incoming orders over the next three months, despite economic uncertainties.
Economic Activity and Orders Expected to Improve
About 23% of manufacturers expect increased activity, up from 13% in October. Meanwhile, the number of companies predicting a decline has dropped to 34%, compared to 37% the previous month. Optimism also extends to incoming orders, with 30% expecting an increase, up from 24%. The percentage predicting fewer orders has decreased from 34% to 30%.
Factors Contributing to Optimism
PMA President David Klotz points to factors like the delay in reinstating tax provisions. These include the roll-back of the R&D tax credit and the return of 100% bonus depreciation for capital investments. These measures reduce financial pressures and improve confidence for the future.
Resilience Amid Economic Uncertainty
Despite economic challenges, metal forming companies remain resilient. The delay in tax reforms allows manufacturers to plan with more certainty, fostering growth and stability. This demonstrates the industry’s adaptability, even in uncertain times.
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