Manufacturing Slowed in September but Continued to Expand

Tempe, AZ, October 1, 2015—Economic activity in the manufacturing sector expanded in September for the 33rd consecutive month; however, the September PMI registered 50.2%, a decrease of 0.9 percentage point from the August reading of 51.1%, according to the latest Manufacturing ISM Report On Business.

The New Orders Index registered 50.1%, a decrease of 1.6 percentage points from the reading of 51.7% in August.

The Production Index registered 51.8%, 1.8 percentage points below the August reading of 53.6%.

The Employment Index registered 50.5%, 0.7 percentage point below the August reading of 51.2%.

Backlog of Orders registered 41.5%, a decrease of 5 percentage points from the August reading of 46.5%.

The Prices Index registered 38%, a decrease of 1 percentage point from the August reading of 39%, indicating lower raw materials prices for the 11th consecutive month.

The New Export Orders Index registered 46.5%, the same reading as in August.

Of the 18 manufacturing industries, seven are reporting growth in September in the following order: Printing & Related Support Activities; Textile Mills; Furniture & Related Products; Food, Beverage & Tobacco Products; Miscellaneous Manufacturing; Paper Products; and Nonmetallic Mineral Products.

The 11 industries reporting contraction in September—listed in order—are Primary Metals; Apparel, Leather & Allied Products; Petroleum & Coal Products; Wood Products; Electrical Equipment, Appliances & Components; Machinery; Computer & Electronic Products; Fabricated Metal Products; Plastics & Rubber Products; Transportation Equipment; and Chemical Products.