Industrial production dips in January
Industrial production decreased 0.3 percent in January after having risen 0.3 percent in December.
In January, manufacturing output fell 0.8 percent, partly because of the severe weather that curtailed production in some regions of the country. Additionally, manufacturing production is now reported to have been lower in the fourth quarter; the index is now estimated to have advanced at an annual rate of 4.6 percent in the fourth quarter rather than 6.2 percent.
The severe weather in January contributed to the manufacturing decline. Output had risen in each of the previous five months, though the rates of increase for October through December are now reported to be slower than previously stated: Steel, semiconductors, motor vehicles, and organic chemicals made the largest contributions to the downward revision for the fourth quarter. The level of factory output in January was 1.3 percent above its year-earlier level. Capacity utilization for manufacturing moved down 0.7 percentage point in January to 76.0 percent, a rate 2.7 percentage points below its long-run average.
The production of durable goods moved down 0.8 percent in January, with decreases recorded in most of its major categories; nevertheless, the production of durables was 2.8 percent above its year-earlier level. In January, the largest declines were in the output of motor vehicles and parts, which dropped 5.0 percent, and in the output of wood products, which fell 2.6 percent. Smaller losses were registered by primary metals; fabricated metal products; electrical equipment, appliances, and components; aerospace and miscellaneous transportation equipment; furniture and related products; and miscellaneous manufacturing.
INDUSTRIAL SUPPLY MAGAZINE
The March/April issue of Industrial Supply magazine features an in-depth cover story about Joyce Lansdale and Vallen. Plus, we're featuring articles by contributing writers Dirk Beveridge, Frank Hurtte, and David Kahle, as well as interviews with numerous product and distribution industry experts.
