According to the November 2021 Manufacturing ISM Report On Business, Manufacturing Performed Well for the 18th Straight Month

The Manufacturing ISM Report On Business is published monthly by the Institute for Supply Management (ISM), the largest supply management organization in the world, as well as one of the most respected.  Economic activity in the manufacturing sector grew in November, with the overall economy achieving an 18th consecutive month of growth, say the nation's supply executives in the November 2021 Manufacturing ISM Report On Business.

Manufacturing grew in November, as the Manufacturing PMI registered 61.1 percent, 0.3 percentage point higher than the October reading of 60.8 percent. The Manufacturing PMI continues to indicate strong sector expansion and U.S. economic growth in November.

ISM’s New Orders Index registered 61.5 percent in November, an increase of 1.7 percentage points compared to the 59.8 percent reported in October. This indicates that new orders grew for the 18th consecutive month.

The Production Index registered 61.5 percent in November, 2.2 percentage points higher than the October reading of 59.3 percent, indicating growth for the 18th consecutive month.

ISM’s Employment Index registered 53.3 percent in November, 1.3 percentage points above the October reading of 52 percent. The Employment Index reported a third month of expansion.

The delivery performance of suppliers to manufacturing organizations was slower in November, as the Supplier Deliveries Index registered 72.2 percent, 3.4 percentage points lower than the 75.6 percent reported in October.

The Inventories Index registered 56.8 percent in November, 0.2 percentage point lower than the 57 percent reported for October, indicating manufacturing inventories continued to expand.

ISM’s Backlog of Orders Index registered 61.9 percent in November, a 1.7-percentage point decrease compared to the 63.6 percent reported in October, indicating order backlogs expanded for the 17th straight month. This is the 10th consecutive month with a reading above 60 percent.

The 13 manufacturing industries reporting growth in November — in the following order — are: Apparel, Leather & Allied Products; Furniture & Related Products; Electrical Equipment, Appliances & Components; Computer & Electronic Products; Machinery; Plastics & Rubber Products; Paper Products; Food, Beverage & Tobacco Products; Miscellaneous Manufacturing; Chemical Products; Petroleum & Coal Products; Fabricated Metal Products; and Transportation Equipment. The two industries reporting a decrease in November compared to October are: Printing & Related Support Activities; and Primary Metals.