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Optimism and Opportunity

Doug Kurkul

Following a year of weak-to-flat casting sales across much of North America in 2024, there is renewed optimism for the year ahead. The turning point was the election. Many business decision-makers believe the election results will be good for business while others are just happy to have the uncertainty of the election behind us. Indeed, more than a few foundry leaders have told us that long-stalled orders have been placed since the election results became known.

This scenario is evident in the AFS Quarterly Metalcasters Outlook Survey, taken immediately after the election. In that survey, 53% of foundries saw sales decrease over the previous 90 days. Yet, 62% have a positive business outlook for the next 12 months, while only 18 percent% have a negative outlook.

The renewed optimism can be seen across the broader spectrum of small businesses, as well. The NFIB Small Business Optimism Index rose by 8 points in November to 101.7, after 34 months below the 50-year average of 98. 
The business community now has a rare opportunity to achieve major public-policy changes to improve the business climate. The American Foundry Society (AFS)––which engages lobbyist Stephanie Salmon and environmental policy advocate Jeff Hannapel in the nation’s capital––is working with the U.S. Chamber of Commerce and my former employer, the National Association of Manufacturers (NAM), to arm the incoming administration and lawmakers with key policy recommendations.

There is no time to waste. With key provisions of the 2017 tax-reform law phasing out, we must restore certainty to U.S. tax policy. There is a pressing need to streamline the permitting process for key energy and infrastructure projects. With data centers requiring ever-more electricity, the U.S. must move expeditiously to adopt a sensible all-of-the-above energy policy and strengthen the electrical grid. Long-stalled bills to crack down on foreign trade cheats must be enacted. Trade agreements must be enforced and tariff policy must take into account the full range of impacts on industry and the economy. Regulations must be based on sound science, cost-benefit analysis, due process, and input from the regulated community. 

Foundry leaders are asking how they can help––here’s what you can do:
• Cultivate relationships with your elected officials and invite them to your facility. Having relationships means they will take your call when key congressional votes approach. 
• Stay abreast of the progress on our pro-metalcasting agenda through the quarterly AFS EPA-OSHA-Public Policy Members-Only Webinars. The next one is on January 29 at 1 p.m. (CT).
• Join us in Washington June 10-11 to deliver our message directly to lawmakers at the AFS Government Affairs Fly-In.
• Ensure your company is an AFS Corporate Member in good standing. That will bring you essential semi-annual economic forecasts, monthly Employment Law Updates, new business leads, tremendous discounts, and you will be helping to fund AFS’s assertive Government Affairs program.

The majority of foundries––and of AFS Corporate Members––are small and mid-size foundries. For an inspirational story about one such small foundry that is benefiting greatly from its Corporate Membership affiliation with AFS, please see this issue’s article about Silver Dollar Castings in Chicago on page 16.

We look forward to seeing you soon at one of our events!