Business was rising for producers of industrial machinery, metal products, transportation equipment, and paper products. For other major manufacturing sectors in the region, sales and production were steady. Order backlogs at area plants have slipped. Around a quarter of the manufacturers contacted for this report said costs continued to rise for the products they purchase. Although nearly all firms surveyed indicated they were not raising prices for their own products, some food processing companies and producers of primary metals were charging more for the goods they make.
Manufacturers forecast somewhat better business conditions.
On balance, they expect slightly more rapid growth in orders in the months ahead compared with recent months. However, some producers of transportation equipment noted that demand was slowing for trucks and autos, and they expect further declines. Overall, capital spending plans for plants in the region include substantial increases. In particular, growth in sales of apparel was weaker than planned. Conversely, sales of jewelry, televisions, and consumer electronics rose strongly.