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Fabricated Metal Product Manufacturing Industry
Insights from D&B Hoovers

Industry Analysis

Description

Companies in this industry transform purchased metals into intermediate or end-use products by forging, stamping, bending, forming, welding, machining, and assembly. Major companies include Ball Corporation, Flowserve, Gibraltar Industries, Mueller Industries, Snap-On, The Timken Company, and Valmont Industries (all headquartered in the US), as well as Jiangsu Guotai International (China), Schaeffler Technologies (Germany), and Toyo Seikan (Japan). Because of the special manufacturing processes involved for individual parts, most companies make a limited range of products.

Competitive Landscape

Globalization and customer concentration have intensified competition in the fabricated metal products industry. OEM customers increasingly seek efficiencies by buying more from fewer suppliers. Many middle-market companies are seeing their margins get squeezed as they try to compete with their larger counterparts for this reduced number of overall contracts. Profits tend to be highest for small, local niche companies, as well as for global market leaders that enjoy significant economies of scale.

Products, Operations & Technology

Major segments of the fabricated metal products industry include architectural and structural products; forging and stamping; machining; cutlery, tools, and kitchenware; boilers, tanks, and containers; hardware; springs and wires; coating, plating, and polishing; and valve and pipe manufacturing. Leading sources of revenue include fabricated structural and architectural metal products (about 25%), along with machine shops, turned products, and screws, nuts, and bolts (about 20%). Other sources of revenue include forging and stamping; boilers, tanks, and containers; and coating, engraving, and heat treating (each about 10%).
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