Heavy Duty Trucking Logo
MenuMENU
SearchSEARCH

Economic Watch: Manufacturing Pushes Industrial Production Higher

The total output from the nation’s factories, mines and utilities rebounded last month, posting its best quarterly performance in a year, due in part to increased manufacturing, according to new Federal Reserve figures.

Evan Lockridge
Evan LockridgeFormer Business Contributing Editor
October 17, 2016
Economic Watch: Manufacturing Pushes Industrial Production Higher

 

2 min to read


The total output from the nation’s factories, mines and utilities rebounded last month, posting its best quarterly performance in a year, due in part to increased manufacturing, according to new Federal Reserve figures.

Its measure of industrial production edged up 0.1% in September following a downwardly revised 0.5% drop in August.

Ad Loading...

Manufacturing output increased 0.2% in September and moved up at an annual rate of 0.9% in the third quarter. It's at the same level as a year ago. The production of durable goods, those designed to last three years or more, remained unchanged. The production of nondurables increased 0.5% while the production of other manufacturing, such as publishing and logging, fell 0.8%.

For the third quarter as a whole, industrial production rose at an annual rate of 1.8% for its first quarterly increase since the third quarter of 2015.

At 104.2% of its 2012 average, total industrial production in September was 1% lower than its year-earlier level.

Ad Loading...

Capacity utilization for the industrial sector edged up 0.1 of a percentage point in September to 75.4%, a rate that is 4.6 percentage points below its 1972–2015 average.

The improved overall performance adds to hope the nation’s industrial sector has gotten past the effects of a strong U.S. dollar and lower oil prices, which pushed manufacturing numbers lower due to bloated inventories as goods made here became too expensive overseas and as the collapse in oil prices resulted in many companies in the energy sector pulling in the reins.

This latest report follows ones from earlier in the month showing manufacturing expanded in September, though they differed in how much things had actually improved.

These and other factors, such as increasing employment, have led to increasing optimism that when third quarter gross domestic product numbers are reported on Oct. 28, GDP will show annual growth of between 2% to 3%. If so, this would be far better than the 1.4% second quarter estimate from the Commerce Department in late September and a reading of 0.8% in the first quarter of the year.

However, with the better economy also comes the likelihood the Federal Reserve will push short-term interest rates higher. So far, policy makers are showing deep divisions in which way to proceed, leaving many wondering how they will decide at their next meeting.

More Fleet Management

Geotab screen on AI concept background
Fleet ManagementJune 17, 2026

What Geotab's New AI Connector Means for Fleets

Fleets can now ask their usual AI assistants questions about maintenance, safety, fuel use, and vehicle performance, using their live Geotab data, and take action on the answers without leaving their preferred AI tool.

Read More →
Image of computer screen with BidBoardX interface

New C.H. Robinson Tool Opens Door to More Predictable Freight

BidBoardX lets carriers search, bid on, and secure committed freight opportunities through a single digital marketplace.

Read More →
Amazon electric cargo bike on New York City street
Fleet ManagementJune 15, 2026

New York City's Microhub Project is Delivering Results

Trucking, last-mile delivery companies, and environmental advocates like what they are seeing so far with New York's microhub program.

Read More →
Ad Loading...
Illustration of hourglass and trucks backed up to a dock
DriversJune 15, 2026

Why Truck Detention Keeps Costing Fleets Time and Money

A 2024 ATRI study found detention affects nearly 40% of truckload stops and costs the industry more than $15 billion annually. Despite the toll on drivers, fleets, and supply chains, the problem remains stubbornly persistent.

Read More →
Panel discussion
Fleet Managementby Deborah LockridgeJune 12, 2026

Time is Running Out to Apply for Exclusive HDT Event

Heavy Duty Trucking Exchange brings fleet managers and suppliers together for the deeper conversations that lead to ideas, partnerships, and solutions. Time is running out to apply for the September event.

Read More →
Empty trailer with worker loading a pallet of cargo
Fleet ManagementJune 10, 2026

Amazon Launches Less-Than-Truckload Freight Offering for All Businesses   

This launch is the latest addition to Amazon Supply Chain Services, a portfolio of supply chain capabilities from Amazon, including freight, distribution, fulfillment, and parcel shipping.

Read More →
Ad Loading...
Stacks of intermodal containers at port with truck driving between them

Import Cargo Volume to See Year-Over-Year Gain Again in June, Then Remain Below 2025 Levels Into Fall

After July, the report predicts a weakening in import volume as consumer uncertainty remains high and the impact of increasing inflation takes its toll.

Read More →
Equity Interest Auction
SponsoredJune 8, 2026

AUCTION OF EQUITY INTEREST IN HEAVY HAUL TRUCKING COMPANY!!

Mark your calendar: June 30, 2026 (10:00 a.m. PDT). A 37.5% ownership interest in MagnaTrans, LLC, a California limited liability company doing business as Magna Transportation Group, will be sold in an in-person and online auction to the highest bidder or bidders under Article 9 of the Uniform Commercial Code. The Rancho Cucamonga-based heavy haul and over-dimensional trucking company operates across California, Oregon, and Arizona.

Read More →
Volvo OTA updates.

Volvo Trucks Adds Unattended Over-the-Air Software Update Capabilities

The latest evolution of Volvo’s over-the-air update technology allows software updates to run while trucks are parked, helping fleets keep vehicles current without disrupting operations.

Read More →
Ad Loading...
Podcast thumbnail illustration
Fleet ManagementJune 4, 2026

How Waste Connections is Using Data, Telematics, and AI

How do you manage and maintain more than 18,000 connected trucks? Data. Lots of it.

Read More →