United States Manufacturing PMIJanuary 2023 Data - 2012-2022 Historical

The S&P Global US Manufacturing PMI was revised slightly higher to 46.9 in January of 2023 from a preliminary estimate of 46.8. The reading continued to point to a third consecutive month of falling factory activity, albeit the contraction eased compared to December (46.2). The downturn was driven by a sharp contraction in new orders, a further drop in output and ongoing efforts to reduce inventories. Weak demand conditions stemmed from subdued sales across both domestic and export markets. Meanwhile, input costs and output charges rose at increased rates as price pressures strengthened again, despite suppliers' delivery times broadly stabilising and a marked contraction in input buying. Also, a lower new order inflows and a strong decline in backlogs of work caused the rate of job creation to slow further. Nonetheless, business confidence ticked higher amid hopes of stronger demand in the months ahead, greater supply chain stability and investment in new products.

The S&P Global US Manufacturing PMI increased to 46.8 in January 2023 from 46.2 in December, beating market forecasts of 46, preliminary estimates showed. Still, the reading continued to point to a contraction in factory activity which was the second-fastest since May 2020 as manufacturing demand conditions remained subdued. Output shrank following another sharp drop in new order inflows, with firms highlighting the impact greater costs were having on client demand. The rate of decline in new business was the second-fastest in over two-and-a-half years and firms cut their workforce numbers for the first time since July 2020. On the price front, input costs increased at a faster pace, ending a sequence of moderation in cost inflation that began in mid-2022 while output prices also rose. Vendor performance deteriorated only marginally. Goods producers were, however, more optimistic regarding the outlook as firms sought to acquire new customers through marketing and new product launches.

The S&P Global US Manufacturing PMI was unrevised at 46.2 in December of 2022, pointing to the biggest contraction in factory activity since May of 2020, amid weak client demand. Output fell at a solid pace that was the quickest in just over two-and-a-half years and new orders fell at one of the fastest rates ever. Companies noted that weak client demand stemmed from economic uncertainty and inflationary pressures leading to lower purchasing power among customers. Foreign client demand also contracted as dollar strength and global economic uncertainty weighed. Also, purchasing activity dropped markedly and at the fastest pace since May 2020, leading to broadly unchanged lead times for inputs, as supplier capacity constraints were less apparent than earlier in the year. Meanwhile, backlogs of work contracted at a steep pace and employment rose only slightly. On the price front, inflation slowed. Also, output expectations picked up to three-month high, but remained historically subdued.