Industrial Production Index July 2012 Shows Manufacturing in Positive Light

August 16, 2012

Industrial Production (IP) increased 0.6 percent in July after having risen 0.1 percent in both May and June.

This explains manufacturing’s contribution to the U.S. Economy too.

In July, manufacturing output increased 0.5 percent and was 5.0 percent above its year-earlier level. The factory operating rate moved up 0.2 percentage point in July to 77.8 percent, a level 1.0 percentage point below its long-run average.

Capacity utilization for total industry moved up 0.4 percentage point to 79.3 percent, a rate 1.0 percentage point below its long-run (1972–2011) average.

Revisions to the rates of change for recent months left the level of the IP  index in June little changed from its previous estimate. Manufacturing output rose 0.5 percent in July, the same rate of increase as was recorded for June.

At 98.0 percent of its 2007 average, total industrial production in July was 4.4 percent above its year-earlier level.

The production index for durable goods increased 0.8 percent in July.

Gains of more than 1 percent were recorded in

  • Primary metals,
  • Computer and electronic products,
  • Motor vehicles and parts,
  • Aerospace and miscellaneous transportation equipment,
  • Miscellaneous manufacturing.

Manufacturing  is up 5 % from July 2011 to July 2012. 

Manufacturing continues to be a strength of the U.S. Economy. The U.S. manufactures more than Brazil, Russia, India, and China combined. If U.S. Manufacturing was a country, it would be the sixth largest in the world.

Fred Graph

IP release


Manufacturing Recovery 7 Months and Counting!

March 10, 2010

11 industries reported expansion in February. The Precision Machined Products Industry, a sub industry of Fabricated Metals, serves 7 of these  industries showing the greatest recovery.

Here are the sectors that reported expansion that precision machining serves:

  1. Machinery; 
  2. Computer & Electronic Products;
  3. Miscellaneous Manufacturing;
  4. Transportation Equipment;
  5. Electrical Equipment;
  6. Appliances & Components;
  7. Fabricated Metal Products;

Economic activity in the manufacturing sector expanded in February for the seventh consecutive month, and the overall economy grew for the 10th consecutive month, say the nation’s supply executives in the latest Manufacturing ISM Report On Business®.

The PMI index for February was 56.5 down 1.9 percentage points from January. Because the PMI is above 50, the manufacturing economy is expanding.

How can they run out of vanilla?

According to ISM  steel, stainless steel, and aluminum are increasing in price.

Anecdotal data from our conversations with members confirms the ISM numbers, and points out that the metals named above are both more expensive and in short supply.

You know business is improving when they are out of plain vanilla.

Photocredit.

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