Metal Fabrication Industry: 2020 Trends
By: Anna Wagenhauser
The Metal Fabrication industry is experiencing continued change and growth in 2020. More competition. Hiring issues. Retention issues. Rapidly changing technology. Capital investment plans. And the need to future-proof for the next economic cycle.
This is a complex and competitive industry, and the better you can understand the current business environment and how to build a competitive advantage, the better. That’s why our team at COACT Associates has written an original content piece, The State of the Metal Fabrication Industry in 2020, that examines the industry in 2020 and explores challenges, opportunities, labor trends, economic trends, and the impact of tariffs.
The excerpt below is taken from our chapter on trends in the Metal Fabrication industry.
Metal Fabrication Industry Outlook: 2020
According to IBISWorld, a market research firm, the majority of companies in the metal fabrication and manufacturing equipment industry are expected to grow in 2020:
Only one industry is predicted to experience a decline in growth in 2020:
Fortunately, this decrease is only expected to last one year. IBISWorld anticipates that the aluminum manufacturing industry will start growing again in 2021 at an annualized rate of 1.0% and that this upward trend will continue until 2025.
Slowing Market
At the macro level when we consider the fact that the PMI dropped below 40% in August 2019 (in addition to other economic indicators), we can potentially anticipate an economic slowdown in 2020.
“Leading indicators are casting a shadow over 2020 and showing that the economy will not be as robust,” Doug Coster (Nolte Precise Manufacturing) said. They also show that certain industries will be soft or flattening a little bit. As a result, growth is going to be more challenging in 2020.
“Companies are going to have to be more strategic or focused on niche markets or strategic markets that are growing, like aerospace and medical devices, in order to be successful.”
Looking to grow your business in 2020?
Download our State of the Metal Fabrication Industry Ebook to learn important industry trends in the Metal Fabrication market, and gain insights into how to build your competitive advantage in 2020.
About COACT
COACT Associates is a full-service business growth agency that has been helping companies grow for over 15 years. Our team of inside sales and marketing professionals target, prospect, pre-qualify and position business opportunities for your professional sales staff to close. Today’s competitive advantage is determined by the amount of knowledge that is gained and shared about the prospect’s buying system, and COACT helps build that advantage.
Learn more about COACT and our business growth campaigns here.
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