Manufacturers Take Advantage of Federal Liquidity Programs
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The NAM released the results of its most recent Manufacturers’ Outlook Survey today. Manufacturers reported a boost in optimism—up from 33.9% in Q2, which was the lowest reading since the first quarter of 2009. The survey also found that a significant number of manufacturers used the federal liquidity programs that the NAM advanced early in this pandemic. The data shows:
- 72 percent of manufacturers that faced negative cash flow impacts due to COVID-19 used the Paycheck Protection Program, Main Street Lending Program or other liquidity program.
- Nearly 92 percent of manufacturers that used federal liquidity programs said those funds were helpful in keeping their business afloat, retaining workforce or meeting other necessary expenses.
- 66 percent of manufacturers are positive about their company’s outlook, a great improvement from the Q2 results. Still, the outlook remains below the historical average of 74.4%, and 62% of manufacturers expect their firm’s revenues will not get back to pre-COVID-19 levels until 2021 or later.
Additional context from NAM President and CEO Jay Timmons: “Congress and the administration have acted on more than five dozen of the policy provisions that the NAM made in our ‘American Renewal Action Plan’ and other recommendations. Without the bipartisan relief legislation signed into law earlier this year, this rise in optimism would not have been possible. But for our industry to truly recover and to keep our economy growing, further bipartisan congressional action is needed.”
You can find the full survey here.