ISM Reports (CONT’D FROM PAGE 16)
Purchasing and supply executives report that their com- panies are operating, on average, at 79.2 percent of nor- mal capacity, 3.1 percentage points lower than the figure reported in December 2024. The 10 industries reporting operating capacity levels above the average rate of 79.2 percent — listed in order — are: Petroleum & Coal Prod- ucts; Apparel, Leather & Allied Products; Paper Products; Printing & Related Support Activities; Miscellaneous Man- ufacturing; Food. Beverage & Tobacco Products; Wood Products; Chemical Products; Transportation Equipment; and Computer & Electronic Products. Production capacity is expected to increase 1.8 percent in 2025. In December, panelists reported an increase of 1.7 percentage points for 2024 and projected an increase of 4 percent this year. Twenty-seven percent of respondents expect capacity increases of, on average, 15.6 percent; 17 percent expect decreases of, on average, 14.6 percent; and 56 percent expect no change. The 13 industries expecting production increases in 2025—in order—are: Apparel, Leather & Allied Products; Electrical Equipment, Appliances & Components; Food, Beverage & Tobacco Products; Computer & Electronic Products; Nonmetallic Mineral Products; Plastics & Rub- ber Products; Primary Metals; Fabricated Metal Products; Paper Products; Miscellaneous Manufacturing; Chemical Products; Machinery; and Transportation Equipment. Survey respondents expect a 1.3-percent decrease in CONTINUED ON PAGE 20
age point lower than the 0.8-percentage point year-over- year increase reported for 2024. Thirty-four percent of respondents say that revenues for 2025 will increase, on average, 9.7 percent compared to 2024. Twenty-two per- cent say revenues will decrease (14.1 percent, on average), and 44 percent indicate no change. With an operating rate of 79.2 percent, a projected 1.3-percent decrease in capi- tal expenditures, a 7.5-percent increase in prices paid for raw materials, and a slight (0.1 percent) decrease in em- ployment expected by the end of 2025, the manufacturing sector will, at best, grow very slightly. “With eight manufacturing industries expecting reve- nue growth in 2025 and eight industries expecting em- ployment growth in 2025, panelists forecast a flat rest of the year. Sentiment in each industry was generally con- sistent with performance reports in the April 2025 Manu- facturing ISM Report On Business, as well as the fall ISM Supply Chain Planning Forecast conducted in December,” says Fiore. The eight of 18 industries that report projected reve- nue increases for the rest of 2025, listed in order — are: Primary Metals; Miscellaneous Manufacturing; Computer & Electronic Products; Chemical Products; Electrical Equip- ment, Appliances & Components; Printing & Related Sup- port Activities; Food, Beverage & Tobacco Products; and Transportation Equipment.
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For more information contact: Charlie Freeman | 816-500-8889 | cfreeman@heartlandsheets.com Tim Kramer | 816-841-8317 | color@heartlandsheets.com
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www.boardconvertingnews.com
May 26, 2025
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