Industrial Production

The Federal Reserve's monthly index of industrial production and the related capacity indexes and capacity utilization rates cover manufacturing, mining, and electric and gas utilities. The industrial sector, together with construction, accounts for the bulk of the variation in national output over the course of the business cycle. The industrial detail provided by these measures helps illuminate structural developments in the economy.

The production index measures real output and is expressed as a percentage of real output in a base year, currently 2017. The capacity index, which is an estimate of sustainable potential output, is also expressed as a percentage of actual output in 2017. The production indexes are computed as Fisher indexes since 1972; the weights are based on annual estimates of value added. The rate of capacity utilization equals the seasonally adjusted output index expressed as a percentage of the related capacity index.

The main industries that contribute to industrial production are:

Manufacturing

Manufacturing is the largest component of industrial production, encompassing the production of durable and nondurable goods. This includes industries like:

• Automotive
• Aerospace
• Electronics
• Machinery
• Chemicals
• Food processing

Mining

The mining industry extracts raw materials like coal, oil, gas, and minerals that are essential inputs for industrial production. Key mining sectors include:

• Oil and gas extraction
• Coal mining
• Metal ore mining

Utilities

The utilities industry, which includes electricity, gas, and water supply, is also part of industrial production. Utilities provide the energy and water needed to power industrial processes.

The Industrial Production and Capacity Utilization statistical release is published around the middle of the month. More detailed descriptions of industrial production and capacity utilization are available.

Developments

https://fred.stlouisfed.org/series/INDPRO

Annual Change for Indstrial Production

https://fred.stlouisfed.org/series/INDPRO

Manufacturing

https://fred.stlouisfed.org/series/IPMAN

Annual Change for Manufacturing Output

https://fred.stlouisfed.org/series/IPMAN

Date	Industrial Production				Manufacturing
	Index	M/M	Y/Y	Forecast M/M	Index	M/M	Y/Y
Average		0.26	3.55			0.17	2.11
2024-01-01	102.57	-0.10	0.03	0.3%	99.16	-0.54	-0.77
2023-12-01	102.67	0.00	1.17	0.0%	99.69	0.11	1.40
2023-11-01	102.67	0.29	-0.39	0.3%	99.58	0.42	-0.89
2023-10-01	102.37	-0.81	-1.00	-0.3%	99.17	-0.87	-2.04
2023-09-01	103.21	0.09	-0.31		100.03	0.12	-1.09
2023-08-01	103.11	-0.07	-0.12	0.1%	99.92	-0.09	-1.01
2023-07-01	103.19	0.87	0.06	0.3%	100.01	0.37	-0.72
2023-06-01	102.30	-0.61	-0.38	0.0%	99.64	-0.71	-0.82
2023-05-01	102.92	-0.22	0.14	0.1%	100.36	-0.15	-0.50
2023-04-01	103.15	0.48	0.35	-0.10%	100.51	1.00	-0.68
2023-03-01	102.66	0.09	0.18	0.20%	99.51	-0.76	-1.48
2023-02-01	102.57	0.02	0.88	0.20%	100.27	0.35	0.04
2023-01-01	102.55	1.05	1.51	0.50%	99.92	1.64	0.87
2022-12-01	101.48	-1.54	0.59	-0.10%	98.31	-2.15	-1.31
2022-11-01	103.07	-0.33	1.85	0.10%	100.47	-0.75	0.84
2022-10-01	103.41	-0.11	3.10	0.20%	101.23	0.09	2.51
2022-09-01	103.53	0.28	4.51	0.10%	101.14	0.20	3.81
2022-08-01	103.23	0.10	3.11	0.10%	100.94	0.21	2.66
2022-07-01	103.13	0.43	3.01	0.30%	100.73	0.27	2.07
2022-06-01	102.69	-0.09	3.19	0.10%	100.46	-0.40	2.85
2022-05-01	102.78	-0.02	3.66	0.40%	100.86	-0.33	3.25
2022-04-01	102.80	0.31	4.59	0.50%	101.19	0.18	4.77
2022-03-01	102.48	0.79	4.43	0.40%	101.01	0.78	4.79
2022-02-01	101.68	0.65	6.61	0.50%	100.23	1.18	7.17
2022-01-01	101.02	0.14	2.27	0.40%	99.06	-0.56	1.59

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March 2023

• Manufacturing output dropped 0.5% last month. Output decreased 1.1% on a year-on-year basis in March. Economists polled by Reuters had forecast production would dip 0.1%.
• Manufacturing output rose at a 0.3% annualized rate in the first quarter after declining at a 3.1% pace in the October-December period.
• Mining output fell 0.5% after dropping 1.0% in February. Utilities production surged 8.4% after dropping 0.7% in the prior month.
• The sharp rebound in utilities offset the declines in manufacturing and mining, lifting overall industrial production by 0.4% last month.
• Industrial output gained 0.2% in February. Industrial production grew at a 0.2% rate in the first quarter after contracting at a 2.5% rate in the fourth quarter.

April 2023

• Industrial production in the United States rose 0.5 percent from a month earlier in April 2023, beating market expectations of flat reading.
• Manufacturing advanced 1 percent, well above forecasts of a 0.1 percent increase bolstered by a strong gain in the output of motor vehicles and parts; factory output excluding motor vehicles and parts moved up 0.4 percent.
• The index for mining rose 0.6 percent, while the index for utilities dropped 3.1 percent, as milder temperatures in April lowered demand for heating.

• Industrial production in the United States increased 0.2% year-on-year in April of 2023, following a downwardly revised 0.1% rise in March.
• The mining sector surged 5.6% while a decline was seen for manufacturing (-0.9%) and utilities (-0.4%) Y/y

May 2023

• Industrial production in the United States went down 0.2 percent from a month earlier in May 2023, missing market expectations of a 0.1 percent increase
• Manuafcturing activity increased 0.1 percent, as expected, but is -0.3% y/y. The indexes for durable manufacturing and other manufacturing (publishing and logging) increased 0.3 percent and 0.2 percent, respectively, while the output of nondurable manufacturing moved down 0.1 percent.
• Mining output slid 0.4 percent driven primarily by decreases in coal mining and support activities, in particular, oil and gas well drilling.
• Output of utilities declined 1.8 percent for a second consecutive month, as electric utilities fell, while natural gas utilities remained unchanged.

July 2023

• In July, total industrial production increased 1.0 percent following declines in the previous two months.
• Manufacturing output rose 0.5 percent in July; the production of motor vehicles and parts jumped 5.2 percent, while factory output elsewhere edged up 0.1 percent.
• The index for mining moved up 0.5 percent.
• The index for utilities climbed 5.4 percent as very high temperatures in July raised demand for cooling.
• Capacity utilization moved up to 79.3 percent in July, a rate that is 0.4 percentage point below its long-run (1972–2022) average

August 2023

• Total industrial production, which also includes mining and utilities, rose 0.4%. The median forecast in a Bloomberg survey of economists called for 0.1% increases in both factory output and total industrial production.
• The 0.1% rise in factory output last month followed a revised 0.4% gain in July. Excluding auto production, manufacturing output jumped 0.6%, the largest gain since the start of the year.
• Utilities output increased 0.9%, while mining production jumped 1.4% — the largest advance since January, primarily due to higher oil and gas extraction.
• Capacity utilization at factories was unchanged at 77.9%, though overall utilization rose to a four-month high of 79.7%.
• Industrial production of defense and space equipment increased another 3.5% in August, the largest gain since May 2020, to a fresh record.

October 2023

Industrial production declined 0.6 percent in October. Manufacturing output fell 0.7 percent. Much of this decline was due to a 10 percent drop in the output of motor vehicles and parts that was affected by strikes at several major manufacturers of motor vehicles—the index for manufacturing excluding motor vehicles and parts edged up 0.1 percent.

The index for utilities decreased 1.6 percent, and the output of mines increased 0.4 percent.

Capacity utilization moved down 0.6 percentage point to 78.9 percent in October, a rate that is 0.8 percentage point below its long-run (1972–2022) average.