Purchasing Managers' Index Inched Up to 49.1% in September

Tempe, AZ, October 1, 2025-The Manufacturing Purchasing Managers’ Index (PMI) registered 49.1% in September, a 0.4-percentage point increase compared to the reading of 48.7% recorded in August, say the nation's supply executives in the latest ISM Manufacturing PMI Report. The overall economy continued in expansion for the 65th month after one month of contraction in April 2020. (A Manufacturing PMI above 42.3%, over a period of time, generally indicates an expansion of the overall economy.) 

The New Orders Index contracted in September following one month of growth; the figure of 48.9% is 2.5 percentage points lower than the 51.4% recorded in August. 

The September reading of the Production Index (51%) is 3.2 percentage points higher than August’s figure of 47.8%. 

The Prices Index remained in expansion (or ‘increasing’ territory), registering 61.9%, down 1.8 percentage points compared to the reading of 63.7% reported in August. 

The Backlog of Orders Index registered 46.2 percent, up 1.5 percentage points compared to the 44.7 percent recorded in August. The Employment Index registered 45.3%, up 1.5 percentage points from August’s figure of 43.8%.

The Supplier Deliveries Index indicated slower delivery performance for the second consecutive month after one month in ‘faster’ territory, which was preceded by seven consecutive months in ‘slower’ territory. The reading of 52.6% is up 1.3 percentage points from the 51.3% recorded in August. (Supplier Deliveries is the only ISM PMI Reports index that is inversed; a reading of above 50 percent indicates slower deliveries, which is typical as the economy improves and customer demand increases.) 

The Inventories Index registered 47.7%, down 1.7 percentage points compared to August’s reading of 49.4%.

The New Export Orders Index reading of 43% is 4.6 percentage points lower than the reading of 47.6% registered in August. 

The Imports Index registered 44.7%, 1.3 percentage points lower or than August’s reading of 46%.

The five manufacturing industries reporting growth in September are petroleum & coal products; primary metals; textile mills; fabricated metal products; and miscellaneous manufacturing. The 11 industries reporting contraction in September-in the following order-are wood products; apparel, leather & allied products; plastics & rubber products; paper products; furniture & related products; chemical products; electrical equipment, appliances & components; transportation equipment; nonmetallic mineral products; machinery; and computer & electronic products.