Industrial production (IP) fell 0.2% in May after increasing 0.1% in April. The index for manufacturing edged up 0.1%, driven by a gain of 4.9% in the index for motor vehicles and parts. In May, manufacturing output excluding motor vehicles and parts decreased 0.3%. The index for mining edged up 0.1%, and the index for utilities fell 2.9%. At 103.6% of its 2017 average, total IP in May was 0.6% above its year-earlier level. Capacity utilization moved down to 77.4%, a rate that is 2.2 percentage points (pp) below its long-run (1972–2024) average.
The major market groups posted mixed results in May. Most durable goods categories experienced growth, including a 3.9% increase in the index for automobile products. The index for nondurable consumer goods fell 0.8%, in large part because of a 3.2% decline in the index for energy nondurable consumer goods. The index for business equipment rose 0.8%, supported by a 6.4% increase in the output of transit equipment, while the indexes for industrial and other equipment and for information processing equipment both moved down. Declines were posted by defense and space equipment, construction supplies, business supplies, and materials.
Manufacturing output edged up 0.1% in May after falling 0.5% in April. The production of durable goods gained 0.4%, with mixed results among its subcategories. The output of motor vehicles and parts increased 4.9%, and the output of aerospace and miscellaneous transportation equipment increased 1.1%. Fabricated metal products, machinery, and nonmetallic mineral products all posted declines of at least 1%. The production of nondurable manufacturing moved down 0.2%, with declines in the indexes for printing and support, for petroleum and coal products, and for food, beverage, and tobacco products.
Mining output inched up 0.1% in May after declining 0.3% in April. In May, the index for utilities fell 2.9%, with a 3.6% drop in electric utilities output more than offsetting a 2.7% rise in the output of natural gas utilities.
Capacity utilization for manufacturing was unchanged in May to 76.7%, a rate that is 1.5 pp below its long-run (1972–2024) average. The operating rate for mining ticked up 0.1 pp to 91.1%, and the operating rate for utilities fell 2.3 pp to 68.5%. The rate for mining was 4.6 pp above its long-run average, while the rate for utilities remained substantially below its long-run average.
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