During the Fabricators & Manufacturers Association (FMA) Annual Meeting last year, collective sentiment about the state of custom metal fabrication seemed to be, "Business is great, but how can we keep up with it all?"
Moving forward, the industry is preparing for significant growth.
Because the custom metal fabrication industry serves a variety of other industries such as pharmaceutical, food processing, transportation, industrial, architectural, packaging and ornamental, experts forecast that it won't be a lack of demand that holds back expansion -- but companies will need to find skilled employees to meet that demand.
Growth in custom metal fabrication
Overall, there are 169 custom metal fabricators in the U.S, according to data collected by IndustryNet. The number of people working in the industry has risen by 0.35 percent in the last year to 4,007. Four percent of companies report new hires in 2017. Two percent of these fabricators are owned by women, with a total of eight plants nationwide.
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Of those companies reporting growth to IndustryNet, the largest number are located in the Midwest, accounting for 33.73 percent of expanding companies. The South follows with 18 percent. Other regions adding companies include: Middle Atlantic (15 percent), Pacific (11.83 percent), West South Central (9 percent), New England (6.51 percent) and Mountain (5.33 percent).
Industry-wide, sales are up 2.18 percent, averaging $20.2 million per year.
What's to come
The health of the metal fabrication industry is largely based on the state of the economy. Great opportunities lie ahead because sectors that rely on metal fabrication such as farming, aerospace and defense are growing at a steady pace. The lawn and garden sector is also doing well.
Additionally, President Trump's goal of a 4 percent annual economic growth is promising for business overall.
One of the better places to take the pulse of the industry is during FABTECH®. When it was held back in November, attendees provided a "somewhat rosy view" of the industry's overall health. Organizers noted that this was a more positive outlook than at any previous gathering. Many plants are expecting to grow and hire more employees in 2018.
Beyond this, the ISM's recent report on manufacturing activity in the U.S. shows the nation's industrial sector is growing at a steady clip, with 2018 expected to be another strong year for factory activity.
Top 10 companies by employees
The Roberts Co.; Winterville, North Carolina; Number of employees: 280; Founded in 1977, the company began as a small contractor with a welding machine and a pickup truck with two employees.
Today, it is a large full-service constructor and fabricator. Recognizing "our business is inherently dangerous," it ensures that safety standards are part of the plan for every project.
The safety practices have paid off as the company is the recipient of the N.C. STAR, awarded by the N.C. Department of Labor for safety excellence.
Cameron Manufacturing & Design Inc.; Horseheads, New York; Number of employees: 235; Faced with the challenge of finding skilled workers, the company, like many other Chemung County manufacturers, are reaching out to high school students to explain job opportunities. These are well-received and well-attended events.
Anderson Dahlen Inc.; Ramsey, Minnesota; Number of employees: 165; The company states it has built a reputation as one of the premier stainless steel and specialty alloy fabricators in the country by "providing superior customer service and high quality equipment and fabrication services."
Jones Metal Inc.; Mankato, Minnesota; Number of employees: 120; For more than 75 years, the company has been a leading provider of specialized metal fabrication services. In 2016, Jones Metal became certified as a women-operated company, opening it up to more potential contracts with government agencies, contractors and Fortune 500 companies.
SWF Industrial; Wrightsville, Pennsylvania; Number of employees: 120; SWF Industrial's specialized employees work to "meet the ever-demanding needs of companies that require custom metal designs, fabrications and installations."
Electromet Corp.; Hagerstown, Maryland; Number of employees: 117; Working as a partner with the defense sector, the company produces rugged military-grade electronic enclosures and precision components. It states that the in-house manufacturing capability "enables us to completely control quality, delivery and cost."
Texwrap Packaging Systems Inc.; Washington, Missouri; Number of employees: 104; The company holds patents on some of the most significant breakthrough technologies in the shrink wrapping business. Texwrap says they build systems better, and that is why they rate as having "a useful life of 30 years compared to 12-15 years for a leading competitor."
Joseph Oat Corp.; Camden, New Jersey; Number of employees: 100; Founded in 1788, the company is the oldest continuously operating industrial fabrication business in the U.S. Ownership of the company remained in the Oat family until the late 1800s.
J & E Manufacturing Co.; Lakeville, Minnesota; Number of employees: 95; The company is continually updating equipment and adding to the extensive list of services. J&E Companies takes "immense pride in our extensive capabilities" and builds to suit.
Verhoff Machine & Welding Inc.; Continental, Ohio; Number of employees: 95; Originally founded in 1955 to service the agricultural industry, the company now offers services to the industrial manufacturing, heavy equipment and military industries.
Top 10 companies by square footage
Verhoff Machine & Welding Inc.; Continental, Ohio; Square footage: 375,000; Within its facilities, the company has state-of-the-art CAD-CAM programming in engineering, fast and accurate CNC equipment in manufacturing, and a portable CMM (coordinate measuring machine) in quality assurance.
J & E Manufacturing Co.; Lakeville, Minnesota; Square footage: 212,000; Housed in its facilities is an extensive range of in-house, custom metal manufacturing capabilities from precision sheet metal components and machined parts, to elaborate fully assembled, high-cosmetic liquid paint or powder-coated complete units.
Cameron Manufacturing & Design Inc.; Horseheads, New York; Square footage: 185,000; Founded in 1983, the company serves heavy manufacturing companies throughout the world. "If it's metal, I'd like to believe they think of us," CEO Chris Goll told a local newspaper in 2015. "We're a full-scale machine shop."
Elixir Door & Metals Co.; Fitzgerald, Georgia; Square footage: 150,000; One of the nation's leading suppliers to the cargo trailer industry, it keeps a large inventory of aluminum sheet and coil in various colors and gauges. The company says its key to success is "exceeding our customers' needs and expectations."
Joseph Oat Corp.; Camden, New Jersey; Square footage: 140,000; The company's rich history goes back to the 18th century and, in the early days, the founders competed for business with other craftsmen like the famed coppersmith Paul Revere.
PennFab Inc.; Morrisville, Pennsylvania; Square footage: 140,000; Founder Michael J. Mabin served in the Coast Guard and his passion for manufacturing began there. Today, the company is 100 percent veteran-owned and recognized for its strengths in the railroad, manufacturing and transportation industries.
Anderson Dahlen Inc.; Ramsey, Minnesota; Square footage: 132,000; Each project manager at the company has dedicated resources, including engineering, design, fabrication, welding and assembly personnel and equipment.
SWF Industrial; Wrightsville, Pennsylvania; Square footage: 125,000; This business is currently housed in a large facility but started extremely small. In fact, SWF began in a one-car garage in 1980. Today it is one of the most trusted names in the metal fabrication industry.
Kuest Corp.; San Antonio, Texas; Square footage: 125,000; Just after World War II, founder Albert R. Kuest emigrated to Texas from Bessarabia in Eastern Europe. He learned to speak English and set out to pursue his "lifelong dream of starting my own business."
Asked in 2015 what advice he would give to kids considering a job in manufacturing, he said, "It's a wide-open field, always changing - new equipment and new technology. You can't afford to sit around, or someone will overtake you. Always do your best."
Motion Metalworks LLC; Wrens, Georgia; Square footage: 125,000; The plant features the latest technology and includes a 6,000 watt fiber laser, waterjet, robotic welding, CNC tube bending, CNC press brakes, Virtek 3-D laser scanner, Faro Arm and various machining tools.
Connect with U.S. custom metal fabrication companies
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