City background: Clearwater, Florida where PMPA Strategic Planning will be held in January.

PMPA shares important precision machining information you may have missed while  you were making essential parts. 

January 21, 2022

Omicron & Manufacturing

PMPA member, Michael Tamasi from Accurounds and Steven Tamasi from Boston Centerless were featured in US News and Wall Street Journal respectively this week regarding the latest obstacle in workforce.  As Omicron spreads, employees are calling off because of infection or exposure which forces creative scheduling to get the jobs completed.  According to the labor department, the U.S. economy added 199,000 jobs last month, and the jobless rate dipped to 3.9% from 4.2% in November which indicates an already tight supply of workers. PMPA members are encouraged to join us in New Orleans in three weeks where the entire conference focuses on workforce.

https://money.usnews.com/investing/news/articles/2022-01-10/omicron-becomes-latest-speed-bump-for-shorthanded-u-s-factories

https://www.wsj.com/articles/omicron-workers-manufacturing-sick-covid-11641832497

 

Producer Prices Slow their Gain In December

Producer Prices for final demand goods rose just 0.2% in December for final demand goods and services, the slowest monthly gain since November 2020. Over the past 12 months, producer prices for final demand goods and services jumped 9.8% (seasonally adjusted), just shy of November’s record 9.9%. Core producer prices increased 6.9% year-over-year in December, the same pace as in November and remaining an all-time high. On an unadjusted basis, final demand prices moved up 9.7 percent in 2021, the largest calendar-year increase since data were first calculated in 2010. The index for final demand goods moved down 0.4 percent in December, the first decrease since falling 2.8 percent in April 2020.

Link to BLS Release: https://www.bls.gov/news.release/pdf/ppi.pdf

Production

Industrial production declined 0.1 percent in December with losses of 0.3 percent for manufacturing from November, dropping back  from November’s 0.6% increase, which was the highest since December 2018. At 101.9 percent of its 2017 average, total industrial production in December was 3.7 percent higher than it was at the end of 2020 and 0.6 percent above its pre-pandemic (February 2020) reading.

 

Manufacturing production declined 0.3 percent in December but was up 3-1/2 percent over the past 12 months; in the fourth quarter, factory output rose nearly 5 percent at an annual rate. The index for motor vehicles and parts stepped down 1.3 percent in December and was about 6 percent lower than its year-earlier level. Excluding the motor vehicle sector, factory output dipped 0.2 percent, with similarly sized decreases for durables and nondurables.

Link to Federal Reserve News Release: https://www.federalreserve.gov/releases/g17/Current/g17.pdf

 

New York Manufacturing Survey

The New York Federal Reserve’s Empire State Manufacturing Survey reported on Wednesday that “Business activity Abruptly leveled off in New York State in January.” According to the report, new orders declined slightly;

Delivery times continued to lengthen, and unfilled orders increased. A moderate increase in employment and hours of workweek were reported.

Plans for capital and technology spending were strong. Looking ahead, firms remained optimistic that conditions would improve over the next six months.

 

TIP OF THE WEEK – BUE

 

City background: Clearwater, Florida where PMPA Strategic Planning will be held in January.

PMPA shares important precision machining information you may have missed while  you were making essential parts. 

January 14, 2022

Manufacturing New Orders

The US Census Bureau Reported that New orders for manufactured goods in November increased $8.4 billion – or 1.6 percent – to $531.8 billion, which has been up for eighteen of the last nineteen months. This followed a 1.2 percent October increase.

Shipments, also up eighteen of the last nineteen months, increased $3.5 billion or 0.7 percent to $527.0 billion. This followed a 2.0 percent October increase.

Unfilled orders, up ten consecutive months, increased $9.1 billion or 0.7 percent to $1,260.1 billion. This followed a 0.3 percent October increase.

Link: (click on Manufacturers Orders) https://www.census.gov/economic-indicators/

Trade Statistics – Goods Exports

According to the US Census Bureau and the US Bureau of Economic Analysis, Average exports of Goods Increased $3.7 billion to $218.3 Billion in November. November Exports were $224.2 billion, up $0.4 billion from October report.

Year to Date, Exports increased $354.4 Billion or 18.2 percent. Never the less, The goods trade deficit soared to a record $98.99 billion in November, and the goods and services deficit increased $174.6 billion, or 28.6 percent, from the same period in 2020.

Manufacturers like us did our part- Exports increased $354.4 billion or 18.2 percent. Link: (click on Manufacturers’ Goods) https://www.census.gov/economic-indicators/

OSHA ETS

What we’re watching: The U.S Supreme Court is deliberating on the OSHA Emergency Temporary Standard for Vaccination and Mask Mandates Affecting Employers with 100 or more employees.

PMPA has signed on to written comments to OSHA asking for removal of ambiguity and to deescalate the risk to employers doing their best efforts in good faith. PMPA members will get the decision and our analysis via our CEO, HR and Corporate ListServes.

November ISM PMI Report

November ISM PMI report showing 18th consecutive month of growth for the overall economy. The report was up 0.3% from October. New orders, Production, and employment indexes all showed monthly increases. https://www.ismworld.org/supply-management-news-and-reports/reports/ism-report-on-business/pmi/november/

 

TIP OF THE WEEK – Bar Straightness