Key Points:
- Industrial production in the U.S. declined in September as supply-chain disruptions in the auto industry and lingering effects of Hurricane Ida weighed on manufacturing and mining output during the month.
- Industrial production, which includes output at factory, mining and utility companies, fell 1.3% in September from the previous month.
- September’s decline is the sharpest since February, when the severe winter weather disrupted factory activity.
- Manufacturing output, the biggest component of industrial production, fell 0.7% in September compared with August.
- Motor vehicle and parts production decreased 7.2% amid the shortage of semiconductors.
- Capacity utilization, which reflects how much industries are producing compared with what they could potentially produce, fell 1% to 75.2% in September, missing expectations of a 76.5% reading.
- The Right Facts will continue to monitor industrial production.