For the first time since November 2012, the Purchasing Managers' Index dipped below 50 percent, to 48.6 percent, signaling a contraction in the manufacturing industry.
Amid raw material deflation and downturns in China and Europe, the manufacturing industry as a whole saw new orders drop, inventories decline, and supplier deliveries slow in November.
However, there were a few bright spots: While some companies saw increases in production from an uptick in export orders, others cited the automotive industry as a key factor for driving business throughout the month. We summarize some of the findings of the report below.
Companies dealing in Metal Fabricated Products reported:
- A decrease in the cost of raw materials such as:
- Hot and Cold Rolled Steel
- Stainless Steel
- High customer inventories
- A surge in imports -- indicative of slower domestic buying
- A rise in export orders -- signaling an increase in overseas business
Data from the MFG.com manufacturing marketplace supports what Metal Fabrication Companies are saying: Automotive was big business in November. Throughout the month. more than $10 million worth of opportunities for automotive parts were posted in the MFG.com marketplace, a 30 percent increase in opportunity value over our October numbers. Of all these opportunities, 98 percent of RFQs came from companies based in the United States.
For Suppliers of Custom Manufactured Parts:
If you're a Metal Fabricating Company looking for lead generation and you haven't experienced an uptick in your business, perhaps you're not looking in all the right places. Using a platform such as MFG.com helps you quickly find buyers that need your services now.
For Buyers of Custom Manufactured Parts:
And if you're an engineer or sourcing professional looking to source Metal Fabrication Companies, you should have little problem locating suppliers with the capacity to make your parts. Using MFG.com helps you find NDA-compliant suppliers capable of making your parts today, without sacrificing quality. Get out there and start sourcing.