Economic activity in the U.S. manufacturing sector expanded in May for the 12th consecutive month, and the overall economy grew for the 60th consecutive month, according to the nation's supply executives in the latest Manufacturing ISM Report On Business®. The report was issued this week by Bradley J. Holcomb, CPSM, CPSD, chair of the Institute for Supply Management® (ISM®) Manufacturing Business Survey Committee, Tempe, Ariz., USA.
"The May PMI® registered 55.4%, an increase of 0.5 percentage point from April's reading of 54.9%, indicating expansion in manufacturing for the 12th consecutive month. The New Orders Index registered 56.9%, an increase of 1.8 percentage points from the 55.1% reading in April, indicating growth in new orders for the 12th consecutive month.
The Production Index registered 61.0%, 5.3 percentage points above the April reading of 55.7%. Employment grew for the 11th consecutive month, registering 52.8%, a decrease of 1.9 percentage points below April's reading of 54.7%. The Supplier Deliveries Index registered 53.2%, 2.7 percentage points below the April reading of 55.9%. Comments from the panel reflect generally steady growth, but note some areas of concern regarding raw materials pricing and supply tightness and shortages.
Of the 18 manufacturing industries, 17 are reporting growth in May in the following order: Furniture and Related Products; Electrical Equipment, Appliances, and Components; Primary Metals; Fabricated Metal Products; Nonmetallic Mineral Products; Machinery; Transportation Equipment; Chemical Products; Paper Products; Computer and Electronic Products; Petroleum and Coal Products; Apparel, Leather and Allied Products; Printing and Related Support Activities; Food, Beverage, and Tobacco Products; Wood Products; Miscellaneous Manufacturing; and Plastics and Rubber Products. No industry reported contraction in May.
The complete report is available online.
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