Stable Metal Fabricating Sectors Belies Tumultuous Times

3^rd Quarter Job Shop Report Displays Calm, Positive Outlook from Manufacturers

ROCKFORD, Ill., Nov. 1, 2014, – Ebola, elections, ISIS and ISIL – all of these subjects have shaken up the economy to a degree during the middle of 2014. However, the 3^rd quarter 2014 Forming & Fabricating Job Shop Consumption Report (FFJSCR) produced by the Fabricators & Manufacturers Association (FMA) was recently released and it demonstrates continued stability in the sector. “One important measure of the health of the manufacturing sector is capacity utilization. Ideally, national capacity utilization numbers are considered normal when they are between 80 and 85 percent – signaling that there is not much slack but no excess demand either,” said Dr. Chris Kuehl, economic analyst for FMA. “Right now the national number is the highest that it has been in six years – 79.3. The number from the FFJSCR is standing at 68.13 and that is trending up a little as well. The good news is that fully 85 percent of the respondents are reporting that this number is either going up for them (35 percent) or it is stable (50 percent) which is solid performance that matches the trends seen in the national data.”

The Fabricators & Manufacturers Association surveys small to mid-sized job shops and contract manufacturers in the metal fabricating sector on a quarterly basis to produce the Job Shop Consumption report. The report assesses operating capacity, new order activity, employment, commodity pricing trends, logistics costs, planned capital equipment purchases and general business outlook. The survey is distributed to more than 17,000 industry executives whose companies make parts or provide assemblies for companies in the automotive, aerospace, medical equipment and heavy equipment industries.

The results are interpreted by FMA’s economic analyst, Dr. Chris Kuehl, founding partner of Armada Corporate Intelligence and author of Fabrinomics®, a biweekly economic analysis e-newsletter for members of FMA. Kuehl’s commentary is included in the survey results.

The Forming & Fabricating Job Shop Consumption Report for the 3^rd quarter of 2014, as well as reports from previous quarters of 2014, can be found at the FMA Store (fmanet.org/store). The report is distributed free as a service to professionals in the metal forming and fabricating industry.

About FMA
Based in Rockford, Ill., FMA is a professional organization with nearly 2,500 members working together to improve the metal processing, forming, and fabricating industry. Founded in 1970, FMA brings metal fabricators and fabricating equipment manufacturers together through technology councils, educational programs, networking events, and the FABTECH^® tradeshow. FMA also has two technology affiliates, the Tube & Pipe Association, Intl. (TPA), which focuses on the unique needs of companies that are engaged in tube and pipe producing and fabricating; and Sustainable Manufacturer Network, a professional organization of individual members dedicated to working toward environmentally friendly manufacturing. (www.fmanet.org)

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Contact

Patricia Lee
Director of Marketing
Fabricators & Manufacturers Association, Intl. (FMA)
[email protected]
+1-815-227-8286