An important new study released by the NAM shows that failure to reverse a new, stricter limit on interest deductibility could cost the United States nearly half a million jobs. The background: Manufacturing is a capital-intensive industry—and manufacturers often borrow funds to purchase capital equipment and invest in growth. The interest they pay on those [...]
The NAM’s newly released Q3 Manufacturers’ Outlook Survey shows that manufacturers are struggling with inflation, supply chain issues and workforce challenges. Though three-quarters of respondents expressed optimism about the economy, that figure represents a decline. A mixed view: Nearly 80% of manufacturing leaders who were surveyed said that supply chain disruptions were one of the [...]
The economic outlook: U.S. firms are seeing some small positive improvements on inflation and the supply of labor, according to a new Federal Reserve report. U.S.-manufactured goods exports totaled $746.62 billion through the first seven months of 2022, using non-seasonally adjusted data, soaring 16.10% from $643.07 billion year to date in 2021. Likewise, manufactured goods [...]
In addition, manufacturing capacity utilization increased from 79.3% in June to 79.8% in July, which was not far from April’s reading (80.1%), which was the highest since August 2000. Total industrial production (which includes manufacturing, mining and utilities) increased 0.6% in July after being flat in June, rising to a new record level. On a [...]
Manufacturing labor productivity rose 5.5% at the annual rate in Q2, coming back strongly after three straight months of decline, according to the U.S. Bureau of Labor Statistics. The data: Sector output increased 4.3%, building on the 3.9% gain in Q1. The number of hours worked declined 1.1%, but hourly compensation increased 4.9%. In durable [...]
China’s increasing strengths and weaknesses should sound alarms for companies producing and sourcing there. Military strength is up; economic growth is near zero and uncertain; and foreign companies are less welcome. The possibility of voluntary decoupling by China or a military incident over Taiwan are increasing. Additional considerations include the ongoing labor shortage; rising wages; [...]
Manufacturing employment increased by 30,000 in July. The labor market remains a bright spot in an economy that has seen softening in other areas. Through the first seven months of 2022, the sector has hired 271,000 employees, building on the 365,000 workers added in calendar year 2021, the most since 1994. Currently, the manufacturing sector [...]
The looming threat of strike “strikes” again, but this time with over 100,000 US railroaders which some are saying is inevitable since workers have been without a contract for nearly 3 years. We are already experiencing many challenges with inland terminals such as equipment deficits, stacked containers, schedule reliability, and out of control accruing cost; [...]
Manufacturing job openings contracted in June for the second straight month, according to the Job Openings and Labor Turnover Survey. NAM Chief Economist Chad Moutray broke it down for us. The manufacturing outlook: “There were 790,000 manufacturing job openings in June, pulling back for the second straight month from April’s record 1,017,000 postings in the [...]
The proposed “book tax” or “corporate minimum tax” in the Senate’s reconciliation bill “would overwhelmingly hit U.S. manufacturers,” according to a new analysis by the Joint Committee on Taxation, Congress’ nonpartisan tax scorekeeper. What’s going on: The reconciliation bill, the outline of which was released Wednesday by Senate Majority Leader Chuck Schumer (D-NY) and Sen. [...]