The manufacturing sector contracted in June for the third consecutive month and the 19th time within the last 20 months, according to the latest Manufacturing ISM Report on Business. The report was issued by the Institute for Supply Management (ISM) Manufacturing Business Survey Committee.
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The Manufacturing Purchasing Managers Index (PMI) was 48.5% in June, down 0.2 percentage points from May’s index of 48.7%.
- The New Orders Index remained in contraction territory, registering 49.3%, a 3.9 percentage point increase from the 45.4% recorded in May.
- The Production Index reading of 48.5% is 1.7 percentage points lower than May’s figure of 50.2%.
- The Prices Index registered 52.1%, down 4.9 percentage points compared to the reading of 57 percent in May.
- The Backlog of Orders Index registered 41.7%, down 0.7 percentage point from the 42.4% recorded in May.
- The Employment Index registered 49.3%, down 1.8 points from May’s 51.1%.
- The Supplier Deliveries Index figure registered at 49.8%, 0.9 percentage point higher than May’s 48.9%.
- The Inventories Index was at 45.4%, down 2.5 percentage points compared to May’s 47.9%.
- The New Export Orders Index reading of 48.8% is 1.8 percentage points lower than May’s 50.6%.
- The Imports Index dropped into contraction territory, registering 48.5%, 2.6 percentage points lower than May’s 51.1%.
The eight manufacturing industries that reported growth in June are: Related Support Activities; Petroleum & Coal Products; Primary Metals; Furniture & Related Products; Paper Products; Chemical Products; Miscellaneous Manufacturing; and Nonmetallic Mineral Products.
