HIGHLIGHTS FROM THE PRELIMINARY REPORT ON MANUFACTURERS' SHIPMENTS, INVENTORIES, AND ORDERS

February 2009 --------------- Released 10:00 A.M. EDT April 2, 2009
(M3-2(09)-02)
Note: All figures in text are in seasonally adjusted current dollars
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(301) 763-4832

Summary

New orders for manufactured goods in February, up following six consecutive monthly decreases, increased $6.1 billion or 1.8 percent to $352.2 billion, the U.S. Census Bureau reported today. This followed a 3.5 percent January decrease. Excluding transportation, new orders increased 1.6 percent. Shipments, down seven consecutive months, decreased $0.4 billion or 0.1 percent to $365.9 billion. This was the longest streak of consecutive monthly decreases since the series was first published on a NAICS basis in 1992 and followed a 2.6 percent January decrease. Unfilled orders, down five consecutive months, decreased $10.7 billion or 1.4 percent to $773.2 billion. This was the longest streak of consecutive monthly decreases since September 2002-January 2003. This followed a 2.0 percent January decrease. The unfilled orders-to-shipments ratio was 5.98, down from 6.07 in January. Inventories, down six consecutive months, decreased $6.2 billion or 1.2 percent to $529.7 billion. This also was the longest streak of consecutive monthly decreases since March 2003-January 2004 and followed a 1.1 percent January decrease. The inventories-to-shipments ratio was 1.45, down from 1.46 in January.

New Orders

New orders for manufactured durable goods in February, up following six consecutive monthly decreases, increased $5.6 billion or 3.5 percent to $164.7 billion, revised from the previously published 3.4 percent increase. This followed a 7.8 percent January decrease.

New orders for manufactured nondurable goods increased $0.5 billion or 0.3 percent to $187.4 billion.

Shipments

Shipments of manufactured durable goods in February, down seven consecutive months, decreased $0.9 billion or 0.5 percent to $178.5 billion, unchanged from the previously published decrease. This also was the longest streak of consecutive monthly decreases since the series was first published on a NAICS basis in 1992 and followed a 5.5 percent January decrease.

Shipments of manufactured nondurable goods, up two consecutive months, increased $0.5 billion or 0.3 percent to $187.4 billion. This followed a 0.5 percent January increase. This increase was due to chemical products, which increased $1.1 billion or 2.2 percent to $51.4 billion.

Unfilled Orders

Unfilled orders for manufactured durable goods in February, down five consecutive months, decreased $10.7 billion or 1.4 percent to $773.2 billion, revised from the previously published 1.3 percent decrease. This followed a 2.0 percent January decrease.

Inventories

Inventories of manufactured durable goods in February, down two consecutive months, decreased $3.6 billion or 1.1 percent to $336.1 billion, revised from the previously published 0.9 percent decrease. This followed a 1.1 percent January decrease.

Inventories of manufactured nondurable goods, down six consecutive months, decreased $2.6 billion or 1.3 percent to $193.5 billion. This followed a 1.2 percent January decrease. Petroleum and coal, led the decrease, down $1.0 billion or 3.9 percent to $23.7 billion. This also was the sixth consecutive monthly decrease.

By stage of fabrication, February materials and supplies decreased 0.6 percent in durable goods and 1.7 percent in nondurable goods. Work in process decreased 1.1 percent in durable goods and 1.3 percent in nondurable goods. Finished goods decreased 1.6 percent in durable goods and 1.0 percent in nondurable goods.