August Manufacturing at a Two Year High

Posted September 6, 2013 & filed under Job Search, References

The results are in and it looks like August gave a much needed boost to the American manufacturing sector. Growth was moving at a faster pace than at any other time during the last two years with 6,000 manufacturing jobs being added to the labor force. That combined with America’s competitive return to the energy game are helping the economy to make positive strides in the right direction. Here are a few major points from early reports:

Good News from the ISM

The Institute of Supply Management, the non-profit organization that tracks supply management across the globe, reported that the index of national factory activity has risen from 55.4 in July to 55.7. Anything above 50 indicates expansion in the manufacturing sector, so the several point growth is a sign of healthy returns. Additionally, the number of orders waiting to be filled also climbed upward.

Increased Foreign Demand

Across the globe, the recession damaged the buying power of both businesses and consumers alike, limiting the demand for American made goods. The U.K. and China are seeing an increase in manufacturing while Spain and Italy are seeing the first stirrings of any manufacturing growth since 2011. Many of them need American parts and resources to stay competitive. Though it’s not a spry recovery, the euro-zone and Chinese markets are allowing American manufacturing to patch up a once hemorrhaging economy.

American Made Products Seeing a Return

Production plants situated in Texas are beginning to crank out new product lines for Apple, Moto X, and other companies. Even Ford plants in Michigan are beginning to ramp up production as global demand for products continue to increase. On top of that, the Made in America movement is beginning to gain greater notice. A great deal of preliminary press about a documentary centered on American manufacturing, combined with the breakout success of an American Made only retailer, has created awareness and caused consumers to think about where their products are made. With that in mind, we may see even greater numbers when the totals for September finally come out.

By James Walsh