New Orders for Manufactured Goods Down 0.6% in September - Modern Distribution Management

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New Orders for Manufactured Goods Down 0.6% in September

Drop follows 10.1 percent decrease the previous month.

New orders for manufactured goods decreased $2.8 billion, or 0.6 percent, in September to $499.4 billion, according to the U.S. Census Bureau. This followed a 10.1 percent decrease in August. Excluding transportation, new orders decreased slightly in September.

Shipments, up three of the last four months, increased $0.7 billion, or 0.1 percent, to $503.4 billion. This followed a 1.1 percent August decrease.

Unfilled orders, up 17 of the last 18 months, increased $3.7 billion, or 0.3 percent, to $1,168.7 billion. This was at the highest level since the series was first published on a NAICS basis in 1992 and followed a 0.6 percent August increase. The unfilled orders-to-shipments ratio was 6.71, unchanged from August.

Inventories, up 22 of the last 23 months, increased $1.5 billion, or 0.2 percent, to $655.2 billion. This was also at the highest level since the series was first published on a NAICS basis and followed a 0.1 percent August increase. The inventories-to-shipments ratio was 1.30, unchanged from August.

New orders for manufactured durable goods in September, down two consecutive months, decreased $2.8 billion, or 1.1 percent, to $242.2 billion, revised from the previously published 1.3 percent decrease. This followed an 18.3 percent August decrease.

Transportation equipment, also down two consecutive months, led the decrease, $2.7 billion, or 3.5 percent, to $73.6 billion.

New orders for manufactured nondurable goods increased $0.1 billion to $257.2 billion.

By stage of fabrication, September materials and supplies decreased 0.5 percent in durable goods and increased 0.3 percent in nondurable goods. Work in process increased 0.6 percent in durable goods and decreased 0.8 percent in nondurable goods. Finished goods increased 1.3 percent in durable goods and 0.1 percent in nondurable goods.

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