Manufacturers Navigate Shifting Economic Conditions: Insights for November 2025

Trade Winds Shift: Metalformers' Economic Outlook for November 2025

The Precision Metalforming Association (PMA) released its latest Business Conditions Report on November 20, 2025, which reveals a nuanced outlook from manufacturing companies in the metalforming sector. Despite fluctuating shipping levels, the sentiment among metalformers remains cautiously optimistic for economic activity in the upcoming months. With some manufacturers predicting an uptick in incoming orders, the industry appears to be balancing on a thin edge between uncertainty and potential growth.

Cautious Optimism Amid Economic Signals

According to the report, manufacturers' expectations regarding general economic activity over the next three months have regressed slightly. Only 14% of the surveyed manufacturers expect an increase in economic activity, down from 18% in October, while a consistent 35% foresee a decrease. A notable 51% anticipate no change, indicating a stable yet stagnant outlook. This cautious sentiment reflects ongoing challenges in the market, such as supply chain discrepancies and variable commodity prices, particularly for vital materials like steel and aluminum.

Incoming Orders Show Promising Growth

Despite the decline in expected economic activity, there’s a silver lining: the forecast for incoming orders appears robust. The number of respondents expecting an increase in orders rose from 21% in October to 31% in November, suggesting a potential rebound in production demand. This sentiment aligns with the idea that while current conditions may be challenging, the manufacturing sector is positioning itself for a possible turnaround. Such optimism could potentially serve as a catalyst for long-term recovery.

The Impact of Shipping Levels on Manufacturers

Shipping levels have dipped slightly, with 40% of surveyed manufacturers reporting a decrease in their average daily shipping activities—an increase from the 38% noted in the previous month. This decline underscores the ongoing logistical challenges faced by the sector. While 39% reported no change, only 21% saw an increase in shipments compared to 26% in October. The fluctuations in shipping levels not only affect short-term operations but also overall customer satisfaction and business relationships.

Staffing Trends: A Mixed Bag

On the workforce front, the report illustrates a mixed scenario. Fourteen percent of manufacturers reported having workers on short time or layoff, increasing from 8% in October. However, 26% indicated a desire to expand their workforce, suggesting that while some companies are tightening belts in response to economic pressures, others are looking to grow. The duality in these trends shows that the industry is still navigating the turbulent waters of post-pandemic recovery.

Conclusion: Navigating the Future Landscape

As we look ahead to the coming months, metalformers are faced with a confluence of challenges and opportunities. The shift in incoming order predictions offers hope, even as shipping levels fluctuate and general economic expectations appear tempered. Understanding how to navigate these varying tides will be crucial for manufacturers aiming to capitalize on new business opportunities while managing costs and resources effectively.

For manufacturers in the metalforming industry, staying informed and adaptable will be key in a climate where every order can turn the tides. As we push into the next year, the focus should not solely be on immediate challenges but also on preparing for future opportunities and innovations, especially considering potential tariff impacts that continue to ripple through international trade dynamics.