Demand for Manufactured Goods Shoots Up
The U.S. Department of Commerce reported June 25th that new orders for U.S. manufactured goods shot up 15.8 percent in May, recovering some of the steep coronavirus-related losses suffered in March and April.
New orders for U.S. manufactured goods stood at $194.4 billion for the month of May, compared to $167.8 billion in April.
May’s significant gain was overwhelmingly led by the transportation equipment sector, which rocketed by an unprecedented 80.7%. Transportation equipment orders stood at $46.9 billion in May.
Additional industries posting significant gains in new orders included motor vehicles & parts (+27.5%); primary metals (+9.1%); fabricated metals (+7.1%); and computers & related products (+4.2%). fabricated metals (+%); motor vehicles & parts (-1.6%) and fabricated metals (-1.5%). Notably, all manufacturing subsectors posted a gain in new orders – the reverse of April and March’s report in which most sectors posted a loss.