Cautious optimism characterizes North American metalcasters' outlook on the business landscape, according to insights from the latest Metalcasters Quarterly Outlook Survey conducted by the American Foundry Society.
More than 55% of respondents said they were very positive or somewhat positive about their company's business outlook for the next 12 months, compared to 21% of respondents who took a negative view. Respondents were especially bullish on casting sales to the defense, oil and gas, and valve industries.
The majority of metalcasters are gearing up for significant investments, with 39% planning to allocate $1 million or more to capital projects in the upcoming year, while another 25% anticipate spending between $500,000 and $1 million. The survey identified key areas for investment, specifically:
- Grinding equipment: 41%
- Robotics: 35%
- Machine tools: 35%
- Molding equipment: 30%
- Cranes or hoists: 28%
- Conveyors: 26%
- Environmental controls: 26%
- Lab equipment: 26%
- Blast cleaning technologies: 22%
- Inspection/testing equipment: 22%
- Melting equipment: 22%
- Core-making machines: 20%
- Air compressors: 19%
Despite this positive outlook, metalcasters still face challenges, with labor shortages topping the list, followed by regulatory difficulties and workforce training concerns.
"The Metalcasters Quarterly Outlook Survey underscores the crucial role of foundries in our manufacturing base and economy," said AFS CEO Doug Kurkul. "These findings demonstrate the readiness of North American metalcasters to make substantial investments in their facilities, fostering innovation and job creation in 2024."
Metalcasting Congress 2024, scheduled for April 23 – 25 in Milwaukee, Wisconsin, invites suppliers to the metalcasting industry and North American metalcasters to exhibit. This event provides a platform for showcasing products and services to thousands of industry professionals.
The American Foundry Society is a dynamic technical and advocacy organization that serves and represents the $50 billion metalcasting industry. AFS is the only association serving the entire industry, including all metals and processes, with a three-part focus on advocacy, education, and innovation. AFS also publishes Modern Casting and Casting Source magazines and presents Metalcasting Congress and CastExpo, the largest metalcasting trade events in North America. Founded in 1896, the organization is based in Schaumburg, Illinois, with an advocacy office in Washington, D.C. More information is available at AFSinc.org.