The economic activity forecast from manufacturers of metalformed products has increased, following a modest improvement outlook. There has been optimism toward manufacturing growth, according to the monthly Business Conditions Report from the Precision Metalforming Association.

The PMA report provides an economic indicator for the next three months of manufacturing, with December’s report sampling 96 metalforming companies in the U.S. and Canada.

The latest report — released Dec. 19 — showed that 30% of manufacturers predict an increase in economic activity (23% in November). Meanwhile, 21% foresee decreased in activity (34% in November)

Surveyed metalformers also forecast more positive incoming orders, with 34% expecting an increase (30% in November). Additionally, 47% predict no change in orders (40% in November), while 19% anticipated a decrease (30% in November).

“As we head into 2025, our members are feeling a sense of cautious optimism,” PMA President David Klotz said in the Dec. 19 news release. “Metalformers are hopeful that a new Congress and Administration will prioritize important tax provisions including reinstating R&D expensing and restoring 100% bonus depreciation, reducing unnecessary regulations and fostering an environment that supports manufacturing growth. Members urge policymakers to consider the full supply chain when shaping trade and economic policies to ensure the continued strength and competitiveness of U.S. manufacturing.”

The report noted that average daily shipping levels dropped in November, with 45% reporting a decrease (33% in November). Meanwhile, 39% reported no change in levels (41% in November), while 16% reported an increase (26% in November).

Metalforming companies reported lead times increased 5%, the same percentage reported in November. Additionally, 12% of companies had a portfion of their workforce on short time or layoff (14% in November), while 24% reported expansion in their workforce (26% in November).

Find the full December PMA Business Conditions Report here.