Manufacturing Activity

October 2002
U.S. Industry Quarterly Review: Manufacturing & Mining;2002 4th Quarter, p23
Industry Profile
Industry Overview
This article presents an overview of the U.S. manufacturing and mining industry, as of October 1, 2002. The industrial sector is unlikely to close out 2002 with a flurry of activity. Beyond the impact of the West Coast port strike, the underlying fundamentals do not support an end-of-year rally in manufacturing activity. There is no reason to assume that consumers will stop spending, barring further terrorist activity or an Iraq war that goes badly. At the same time, there is also no reason to expect consumers to accelerate their spending. Housing and light-vehicle sales will not be the contributors to growth that they were early in the year, but should not be major drags on manufacturing. Business investment and exports will do a bit more than tread water as 2002 draws to a close, but do not expect robust growth from either sector.


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