As usual, the ISM report covers a wide variety of topics, many of which are not of great interest to members of the MFG.com marketplace. However, the data from Metal Fabrication Companies included some positive indicators for the industry as a whole. We summarize some the findings of the report below.
In the October 2015 report, Metal Fabrication Companies showed:
- Overall Growth -- in spite of an ongoing need to “hire young machinists to replace those retiring”
- A decrease in the cost of raw materials like:
- Hot and Cold Rolled Steel
- Stainless Steel
- Growth in new orders
- Growth in production
- Employment growth
- Faster supplier deliveries
- High customer inventories – which could be a negative indicator
- Paying lower prices for inputs, overall
- A decrease in order backlogs – which could have resulted from the reported increase in production
- A decrease in export orders - meaning more domestic business
- A decrease in import orders – also indicating better domestic prospects
MFG.com's marketplace data supports strong activity in the Metal Fabrication sector. In October, 125 fabrication RFQs were posted. All were awarded to domestic U.S. suppliers. Of the more than 600 RFQs posted in the MFG.com marketplace in October, 45% were in the Fabrication industry, a 22% increase from September's numbers.
Based on these data points, if you are an engineer or procurement professional, you may encounter challenges finding suppliers with the current capacity to fulfill your orders. Take advantage of the MFG.com marketplace to source to new Metal Fabrication Companies in the United States or around the world.
If, on the other hand, you are a metal fabrication company and have not benefited from this uptick in domestic business, you may want to utilize the MFG.com marketplace to get in front of more procurement professionals who are seeking these services. Join or login now.