Connect With The Trützschler Group At CAITME 2024 Tashkent, Uzbekistan

MÖNCHENGLADBACH, Germany — August 6, 2024 — September 11-14, 2024, the Trützschler Group will present its latest innovations at CAITME in Tashkent, Uzbekistan — featuring machines and technologies in spinning, card clothing and nonwovens. Visit booth J30 in pavilion 3 to learn all about Trützschler’s global flagship in carding — the intelligent card TC 30i — as well as the integrated draw frame IDF 3 and the world’s first 12-head comber, the TCO 21XL.

Trützschler Spinning

Discover the latest innovations in carding, draw frame and combing at Trützschler Spinning. All innovations address fundamental customer needs in fiber processing: high efficiency, more sustainable raw material utilization and intelligent automation. A highlight will be Trützschler’s next generation card, the TC 30i. In recent customer trials, the TC 30i has achieved up to 40 % higher productivity while reducing energy consumption by up to -18 %. In addition, the team will share insights about the Integrated Draw Frame IDF 3, which enables shortened processes that save resources, energy and production space.  Visitors will also have the opportunity to discover the world’s first 12-head comber, the TCO 21XL. This new high- performance comber makes it possible to increase productivity by 50 %, while requiring 25 % less space and achieving consistent quality at all times.

Visitors will also get the chance to learn about Trützschler’s new brand for textile recycling, TRUECYCLED. Through machinery expertise and technological know-how, the company enables its customers to produce high quality tapes while turning waste into value.

Trützschler Card Clothing

Trützschler Card Clothing (TCC) will present a wide range of technologies from its card clothing portfolio, covering the full spectrum of applications in the spinning and nonwovens markets. A key feature will be the Flexible Bend Control (FBC), which ensures perfect flat setting for all card models within a few seconds and guarantees optimum quality at all times.

Trützschler Nonwovens

Trützschler Nonwovens will share insights into innovations like the needle-punching line
T-SUPREMA for technical nonwovens.

Trützschler Nonwovens will focus on proven solutions for the production of cotton nonwovens for wipes, pads and medical products from virgin fibers, comber noils or blends. In addition, the team will provide insights into T-SUPREMA needle-punching lines and will be ready to show you its solutions for the specific requirements of high-potential markets such as geotextiles, filter media, automotive textiles or other durable products.

See you in Tashkent, Uzbekistan!

CAITME offers a great opportunity for people from across the textiles industry to talk to our Spinning, Nonwovens and Card Clothing experts. We are already excited to meeting you in Tashkent, Uzbekistan, at pavilion 3, booth J30.

Posted: August 6, 2024

Source: The Trützschler Group SE

Teijin Frontier Expands European Fashion Business With Opening Of New Showroom In Paris

TOKYO — August 6, 2024 — Teijin Frontier Ltd. announced today that its European subsidiary, Teijin Frontier Europe GmbH, has opened a new showroom in Paris with the aim of expanding its fashion business in the region.

Launched in June 2024, the showroom displays Teijin Frontier’s fabric collection and products, which is centered on environmentally friendly and functional fibers. The collection includes the company’s ECOPETⓇ polyester fiber, made with recycled post-consumer polyethylene terephthalate (PET), and its ultra-soft and smooth SOLOTEXⓇpolytrimethylene terephthalate (PTT) fiber, as well as textiles and other products that use these fibers.

Interior of the showroom

In addition to showcasing materials and disseminating information, the showroom will display applications in collaboration with Teijin Frontier’s Japanese suppliers and serve as an exhibition venue for their clients’ brands. The exhibits will change seasonally and align to evolving customer needs.

By opening a showroom in the fashion capital of the Western world, Teijin Frontier aims to increase its presence as a fiber supplier to the French and European markets. Furthermore, by encouraging customers to visit and learn about its products, Teijin Frontier hopes to uncover new needs and trends, which will be used to guide development of new products and solving customer issues.

Posted: August 6, 2024

Source: Teijin Group

Doug Neal To Lead Barry-Wehmiller Continuous Improvement Initiatives

ST. LOUIS — August 5, 2024 — Barry-Wehmiller is excited to announce a new role that will bring transformative change to the organization. Doug Neal has been appointed vice president of Continuous Improvement and will lead the efforts to reboot the organization’s dedication to operational excellence. Neal brings over three decades of experience in operations and continuous improvement across diverse industries, spanning from healthcare to manufacturing, making him a pivotal addition to the leadership team.

Most recently, Neal worked at Revvity (formerly PerkinElmer), where he held important roles such as senior director, Global Lean; senior director, Planning and Logistics; and senior director, Service Operations. He holds a Bachelor of Science in industrial management from Indiana University of Pennsylvania and a Master of Business Administration from Pennsylvania Western University Clarion.

Neal’s diverse skill set includes expertise in multi-site operations and international business systems, along with extensive experience in manufacturing and transactional process improvement. His appointment marks a strategic move toward enhancing Barry-Wehmiller’s global commercial, operational and organizational strategies.

“Doug’s wealth of experience and passion for operational excellence will undoubtedly drive significant transformation at Barry-Wehmiller,” said Kyle Chapman, Barry-Wehmiller president. “His continuous improvement initiatives align with our vision of building a vibrant future and ensure that our customers continue to receive exceptional quality and service.”

“Barry-Wehmiller is a great organization with a great history and foundation,” Neal said. “I couldn’t be more excited about the opportunities here. Our focus will be on the people, ensuring they are involved and engaged in driving the changes needed to deliver results for our customers, stakeholders and team members.”

Posted: August 5, 2024

Source: Barry-Wehmiller

Chairman Cho Hyun-Joon’s Vision For Hyosung’s Centennial: Growing Bio BDO

SEOUL, South Korea — July 1, 2024 — Cho Hyun-joon, chairman of Hyosung, has identified “Bio BDO” as the future growth driver for the company.

Butanediol (BDO) is a chemical used to manufacture PTMG, which is used in the production of spandex. BDO is also used to manufacture packaging materials, automotive interior components, and industrial compounds.

Bio BDO is produced by fermenting sugars derived from renewable sources such as sugarcane or corn. Compared to conventional products that are produced with fossil fuels, Hyosung’s bio BDO is expected to reduce carbon dioxide emissions by more than 90 percent, making it a highly regarded material in the eco-friendly market.

Investing KRW 1 trillion in Vietnam to establish a bio butanediol plant with an annual production capacity of 200,000 tons

After observing the rapid shift in the global textile market toward eco-friendly products, Chairman Cho swiftly decided to invest in bio BDO.

In April, Hyosung TNC announced its plan to invest KRW 1 trillion in southern Vietnam’s Bà Rịa–Vũng Tàu Province to build a new plant capable of producing 200,000 tons of bio BDO annually.

The company plans to start production and sales of bio BDO with an initial capacity of 50,000 tons per year beginning in the first half of 2026.

The world’s first integrated production system for bio spandex, from raw materials to finished fibers

With Chairman Cho’s investment in bio BDO, Hyosung TNC will establish the world’s first vertically integrated production system for bio spandex in Vietnam. The plant in Bà Rịa–Vũng Tàu Province will produce bio BDO, which will be converted into PTMG at the Dong Nai plant, and subsequently used to mass-produce bio spandex.

This integrated production system is optimized for customers in the global eco-friendly premium textile market, including Europe and the United States. It enhances production efficiency through stable raw material supply and allows for quick responses to market demands by speeding up the production system’s operations. Additionally, it secures cost competitiveness by reducing transportation costs and minimizes environmental impact by lowering fuel consumption for transportation.

Chairman Cho Hyun-joon stressed: “The bio business, which focuses on transitioning from fossil fuel-based raw materials to plant-based ones, will be a key pillar of Hyosung’s centennial vision. Strengthening our global market strategy by focusing on our bio BDO and bio spandex integrated production system is key to elevating Hyosung’s premium brand status.”

Posted: August 5, 2024

Source: Hyosung Corporation

Albany International Corp. Appoints Christopher E. Stone as President, Albany Engineered Composites

ROCHESTER, N.H. — August 2, 2024 — Albany International Corp. announced today that its Board of Directors has appointed Christopher Stone as president, Albany Engineered Composites Inc., and elected him an officer of the company, effective August 12, 2024, to succeed Gregory Harwell, who no longer serves as president of Albany Engineered Composites.

Stone brings a deep knowledge of the A&D industry, and considerable broad experiences to his new role. He has held a wide range of leadership positions at public companies, with a focus in manufacturing and supply chain management, business operations, production control, logistics and organizational transformation. Most recently he served as vice president and chief supply chain officer at Lockheed Martin Corp. from 2021 to 2024. Prior to joining Lockheed Martin, he was vice president – Supply Chain & Material Management at Aerojet Rocketdyne from 2018 to 2021, and previously held various management positions at Textron companies, including Textron Marine & Land System and Bell Helicopter from 2005 to 2018. He is a former Aviation Officer with the United States Army with a Bachelor of Business Administration in Management from Gonzaga University and an MBA from Rice University.

Kleveland said: “I am excited to have Chris join the Albany team and know he will bring a strong strategic capability to our growing business. At the same time, his experience and admirable results leading Operations and Supply Chain are critical to continue the competitive advantage AEC has in on time delivery of a quality product.”

Stone said: “I am deeply honored to join the team at Albany Engineered Composites, renowned for their state-of-the-art technologies and exceptional execution in a market space that is critical to our industry. I am excited to meet our talented employees, learn the Albany business, and engage with our valued customers.”

Posted: August 5, 2024

Source: Albany International Corp.

AATCC Journal Of Research To Become Open Access

RESEARCH TRIANGLE PARK, N.C. — August 2, 2024 — As of January 1, 2025, the American Association of Textile Chemists & Colorists’ AATCC Journal of Research will be a freely accessible as an Open Access Journal, providing vital information about broad aspects of textile chemistry, coloration, testing, and advanced materials to textile industry researchers and professionals all over the world. The AATCC Journal of Research (AJOR) is a peer-reviewed journal dedicated to publishing original and review papers.

Prior to January 2025, access to AJOR for most textile professionals was dependent on membership to AATCC, or a separate paid subscription. Now that the journal is open access after January 1, 2025, there will be no restrictions on who can access the journal, with all articles past and present being free to view. This means that researchers and textile professionals can make use of the journal without any barriers to accessing the articles and be at the forefront of textile research.

The decision to make AJOR open access greatly enhances the goal of AATCC and the journal’s Editors to spread education and knowledge in the industry by providing high-quality peer-reviewed information. AJOR continues AATCC’s long history of publishing peer-reviewed research and has always been an integral membership benefit for AATCC members, allowing them to stay current with cutting edge textile-related research. The decision to make AJOR content freely available allows everyone access to this content so the information can be shared with researchers and professionals worldwide.

AJOR’s Editor in Chief Dr. Gang Sun (University of California, Davis); Deputy Editor Dr. Chi Wai Kan (Hong Kong Polytechnic University); and Publications Chair Dr. Jiping Wang (Shanghai University of Engineering Science) were pivotal in the decision to bring the AATCC Journal of Research to Open Access.

All of the journal’s latest and previous articles can be read for free beginning on January 1, 2025. For those interested in submitting to AJOR, authors can benefit from a 50% discount on the article processing charge (APC) throughout 2025. Article processing charges will begin starting September 1, 2024.

Posted: August 5, 2024

Source: AATCC

Apex Mills Launches New Fabrics For Super Long-Lasting Stretch

NEW YORK CITY — August 1, 2024 — Apex Mills, a USA-based manufacturer of specialty fabric solutions, announces the launch of OutStretch™, a new collection of textiles targeting the high-performance needs of the apparel industry. Designed for a spandex-free comfortable stretch, OutStretch offers exceptional durability and long-lasting quality as a sustainable alternative to fabrics made with elastomer yarns that cannot be recycled.

Exclusively available from Apex Mills, the OutStretch fabric collection is a USA-made breakthrough offering exceptional stretch that doesn’t degrade, ensuring superior durability, comfort, moisture-wicking, shape retention and recyclability. Other fabric features include high tensile strength, non-transparency, wrinkle and crease resistance and a soft, supple texture without pilling or “crunchiness” after 25 washings. The collection has various finishes including fire resistance, antimicrobial/anti-odor protection, abrasion resistance and durable water repellency. It complies with the Berry Amendment, the USMCA Agreement, and the CAFTA-DR Agreement and is OEKO-TEX Standard 100 and ISO9001:2015 certified.

“Our new OutStretch collection is not just about American-made durability and comfortable stretch, it’s about quality. OutStretch is a high-performance, sustainable fabric solution with an effortlessly comfortable fit that performs perfectly on a golf course and in an office. This is the durable and sustainable stretch-and-fit solution the apparel industry needs. We’re thrilled to bring the OutStretch™ technology to market and look forward to showcasing it at the Advanced Textiles Expo in Anaheim in September,” said Jonathan Kurz, CEO and president of Apex Mills.

Engineered with an exclusive blend of proprietary fibers, OutStretch targets applications requiring a lightweight, comfortable, soft hand that contours to all body types and shapes, such as sportswear, activewear, athleisure, military uniforms and accessory apparel.

Posted: August 2, 2024

Source: Apex Mills

U.S. Senator Sherrod Brown, Manufacturers, Retailers, Law Enforcement, & Workers Call On The Biden Administration To Close Massive Trade Loophole

BROOKLYN, Ohio — August 2, 2024 — U.S. Senator Sherrod Brown (D-Ohio) joined manufacturers, retailers, law enforcement, and workers at MMI Textiles in Brooklyn, Ohio, to push for the Biden Administration to close a massive loophole that foreign countries like China exploit to avoid paying duties and fees they owe, and that fentanyl traffickers exploit to evade customs inspections. Brown has introduced bipartisan legislation to address the problem, and has repeatedly called on the President to take executive action to close the loophole.

“We know what a problem unfair foreign competition is for Ohio companies, particularly from China. Tariffs have been one way to counter this and level the playing field for American manufacturing, but this de minimis loophole is yet another way for China to cheat,” Brown said. “And because these packages enter the U.S. with minimal inspection, drug traffickers are also exploiting the De Minimis loophole to send deadly drugs like fentanyl into our country without any detection.”

Right now, packages under $800 in valuation are exempted from U.S. duties, taxes, and fees, and are allowed to enter the country with little or no inspections. The number of packages using this loophole to avoid duties has soared recently to more than three million packages per day, and urgent action is needed to prevent unfair competition and exploitation of U.S. manufacturers. Foreign competitors will often split large shipments into many small packages to cheat the rules and evade the duties they owe, gaining an unfair competitive advantage. These shipments often include counterfeit items and items made with slave labor. Drug traffickers, aware of this glaring loophole, ship deadly drugs – like fentanyl – in these small packages to evade detection. Earlier this year, Senator Brown and Senator Rick Scott (R-FL) sent a letter to the President urging him to use his executive authorities under the Tariff Act of 1930 to end the abuse of the de minimis loophole.

“The de minimus loophole continues to wreak havoc on an already fragile textile industry due to Fast Fashion imports that get duty free access to the USA.  Our US textile industry is vital for the country in order to provide an industrial base to the military and PPE sectors,” said Amy Bircher Bruyn, CEO of MMI Textiles. “Sherrod Brown does hard work to make sure American manufacturing is prioritized. Our industry is resilient, and we have survived a litany of changes over the past 4 decades, but we are rewarding China at the expense of our nation’s manufacturing jobs.”

“For federal law enforcement officers like me who work at the ports, it is incredibly frustrating to watch helplessly as millions of international packages that could contain fentanyl and other contraband evade inspection every day because of a loophole in the law. If we had the authority and additional staff to inspect more of them, we would undoubtedly seize more illegal drugs like fentanyl that are destroying families and communities and collect more of the tariffs that foreign companies owe on their imports. The CBP Officers I represent through the National Treasury Employees Union strongly support the efforts by Sen. Brown and others to close the loophole and allow me and my colleagues to do our job to protect Americans from deadly substances and American companies from unfair competition,” said Heidi Tien, president of NTEU Chapter 155 (CBP Ohio).

“I appreciate Senator Sherrod Brown’s bipartisan support in our efforts to reduce the infusion of fentanyl into our communities. Closing gaps like this will reduce the open flow of fentanyl and save countless lies. Reducing these opportunities to introduce poisonous fentanyl into our community, maximizes the value of our enforcement, treatment, and other collaborative efforts,” said Cuyahoga County Sheriff Harold A. Pretel.

“With nearly 4 million packages per day, the de minimis loophole has created rampant lawlessness and is facilitating the import of high-risk, illegal, and dangerous products—including deadly fentanyl poison that is killing tens of thousands of Americans each year,” said Michael Stumo, CEO of the Coalition for a Prosperous America. “The de minimis loophole also makes a mockery of the Uyghur Forced Labor Prevention Act and efforts to prohibit Chinese imports made with forced labor. We thank Senator Brown for recognizing that this dangerous loophole must be closed.”

Brown has long been a leader in pushing to strengthen U.S. trade enforcement, including working to close this massive loophole. Last September, he called on the president to shield the American textile and apparel industry from unfair trade practices. In June, he introduced the bipartisan Import Security and Fairness Act, a legislative solution to close the de minimis loophole. Brown’s legislation would ensure low-value shipments from non-market economies, such as China, are no longer exempt from paying any duties, taxes, or fees to the U.S. Government. While this legislation would solidify a de minimis loophole fix into law, executive action from the administration will work more quickly to protect Ohio families from fentanyl, and level the playing field for Ohio businesses.

Posted: August 2, 2024

Source: U.S. Senator Sherrod Brown (D-OH)

Indonesia: Trützschler & Agansa Joining Forces For Service Excellence

NEUBULACH, Germany.— August 2, 2024 — Indonesia is one of the world’s biggest textile markets. It’s also a key market for Trützschler’s Spinning and Card Clothing businesses. That’s why the company places a sharp focus on selecting a strong partner to serve local customers. Agansa successfully won that role in 2023. Together with Trützschler, the team of technical experts combines expertise in Spinning and Card Clothing to ensure that customers receive outstanding service in the respective application areas.

The Trützschler and Agansa team in Indonesia.

In recent years, Agansa and Trützschler have built a relationship as leading players in the Indonesian textile sector. Agansa has a strong reputation for servicing machinery. Its headquarters are located in Bandung, two hours from Jakarta, while it also operates a branch office in Solo. All sites offer rapid service, as well as a full range of clothings and replacement parts for Trützschler spinning and carding machines.

Certified and standardized

Agansa was selected as Trützschler’s service agency in Indonesia because it has a unique capacity to provide excellent support for both card clothing and spinning. That ensures a single point of contact for all Trützschler customers. On top of this, the company is able to meet our strict criteria for service by operating at the same standard as every Trützschler service station worldwide. That uniform excellence is ensured by a comprehensive certification process. Expert engineers from Trützschler regularly visit Agansa to evaluate its facilities, as well as the skills and knowledge of its on-site team. Together, the partners agree improvements and further training to make sure every detail of the agency’s day-to-day operations is identical to the rest of our global network.

Events for excellence

Several events have already demonstrated the value of this collaboration since it entered into force in 2023. In September and October for example, the partners hosted a series of Customer Day events in Bandung, Jakarta and Solo — reaching more than 250 customers from Trützschler’s Spinning and Card Clothing businesses. Together, the attendees engaged in open discussions about key challenges and opportunities. Customers also had a chance to share their concerns and suggest improvements.

Outstanding service everywhere

Agansa’s technical team is now helping to maximize the positive impact of our machines across the textile market in Indonesia. Customers for Trützschler’s Spinning and Card Clothing  businesses in this country can rely on this new service agency to provide the same outstanding support offered everywhere else in the world.

Customers satisfied with service

Jemmy Kartiwa Sastraatmaja, owner of Danar Mas, one of the leading textile manufacturers in Indonesia, specialized in yarns and greige fabrics, speaks positively about his experience with the Trützschler and Agansa team: “We are satisfied with the support from the sales team and the technical service team from Trützschler and Agansa, who are always ready to help.”

Posted: August 2, 2024

Source: Trützschler Card Clothing GmbH / Trützschler Group SE

Manufacturing PMI® At 46.8%; July 2024 Manufacturing ISM® Report On Business®: Furniture & Related Products Sector Reports Growth

TEMPE, Ariz.— August 1, 2024 — Economic activity in the manufacturing sector contracted in July for the fourth consecutive month and the 20th time in the last 21 months, say the nation’s supply executives in the latest Manufacturing ISM® Report On Business®.

The report was issued today by Timothy R. Fiore, CPSM, C.P.M., Chair of the Institute for Supply Management® (ISM) Manufacturing Business Survey Committee:

“The Manufacturing PMI® registered 46.8 percent in July, down 1.7 percentage points from the 48.5 percent recorded in June. The overall economy continued in expansion for the 51st month after one month of contraction in April 2020. (A Manufacturing PMI® above 42.5 percent, over a period of time, generally indicates an expansion of the overall economy.) The New Orders Index remained in contraction territory, registering 47.4 percent, 1.9 percentage points lower than the 49.3 percent recorded in June. The July reading of the Production Index (45.9 percent) is 2.6 percentage points lower than June’s figure of 48.5 percent. The Prices Index registered 52.9 percent, up 0.8 percentage point compared to the reading of 52.1 percent in June. The Backlog of Orders Index registered 41.7 percent, equaling its June reading. The Employment Index registered 43.4 percent, down 5.9 percentage points from June’s figure of 49.3 percent.

“The Supplier Deliveries Index indicated slowing deliveries, registering 52.6 percent, 2.8 percentage points higher than the 49.8 percent recorded in June. (Supplier Deliveries is the only ISM Report On Business index that is inversed; a reading of above 50 percent indicates slower deliveries, which is typical as the economy improves and customer demand increases.) The Inventories Index registered 44.5 percent, down 0.9 percentage point compared to June’s reading of 45.4 percent.

“The New Export Orders Index reading of 49 percent is 0.2 percentage point higher than the 48.8 percent registered in June. The Imports Index remained in contraction territory in July, registering 48.6 percent, 0.1 percentage point higher than the 48.5 percent reported in June.”

Fiore continues, “U.S. manufacturing activity entered deeper into contraction. Demand was weak again, output declined, and inputs stayed generally accommodative. Demand slowing was reflected by the (1) New Orders Index dropping further into contraction, (2) New Export Orders Index continuing in contraction, (3) Backlog of Orders Index remaining in strong contraction territory, and (4) Customers’ Inventories Index moving lower to the higher end of ‘too low’. Output (measured by the Production and Employment indexes) declined compared to June, with a combined 8.5-percentage point downward impact on the Manufacturing PMI calculation. Panelists’ companies reduced production levels month over month as head-count reductions continued in July. Inputs — defined as supplier deliveries, inventories, prices and imports — generally continued to accommodate future demand growth.

“Demand remains subdued, as companies show an unwillingness to invest in capital and inventory due to current federal monetary policy and other conditions. Production execution was down compared to June, likely adding to revenue declines, putting additional pressure on profitability. Suppliers continue to have capacity, with lead times improving and shortages not as severe. Eighty-six percent of manufacturing gross domestic product (GDP) contracted in July, up from 62 percent in June. More concerning: The share of sector GDP registering a composite PMI calculation at or below 45 percent (a good barometer of overall manufacturing weakness) was 53 percent in July, 39 percentage points higher than the 14 percent reported in June. Notably, all six of the largest manufacturing industries — Machinery; Transportation Equipment; Fabricated Metal Products; Food, Beverage & Tobacco Products; Chemical Products; and Computer & Electronic Products — contracted in July,” Fiore said.

The five manufacturing industries reporting growth in July are: Printing & Related Support Activities; Petroleum & Coal Products; Miscellaneous Manufacturing; Furniture & Related Products; and Nonmetallic Mineral Products. The 11 industries reporting contraction in July — in the following order — are: Primary Metals; Plastics & Rubber Products; Machinery; Electrical Equipment, Appliances & Components; Transportation Equipment; Fabricated Metal Products; Food, Beverage & Tobacco Products; Wood Products; Paper Products; Chemical Products; and Computer & Electronic Products.

What Respondents Are Saying

“Business is relatively flat — the same volume, but smaller orders.” [Chemical Products]

“Demand continued to soften into the second half of the year. Supply chain pipelines and inventories remain full, reducing the need for overtime. Geopolitical issues between China and Taiwan as well as the election in November remain weighing concerns.” [Transportation Equipment]

“Even though we are used to a seasonal reduction in business over the summer, consumer behavior is changing more than normal. Sales are lighter, and customer orders are coming in under forecasts. It seems consumers are starting to pull back on spending.” [Food, Beverage & Tobacco Products]

“Availability of parts is good, with small exceptions of missing materials here and there. Ordering is still well below typical levels as we continue to burn down inventory of raw goods, with ‘normal’ ordering trends expected to return sometime in the second half of 2024.” [Computer & Electronic Products]

“It seems that the economy is slowing down significantly. The number of sales calls received from new suppliers is increasing significantly. Our own order backlog is also diminishing. We are hoping for an increase in customer demand, or we will possibly need to make organizational changes.” [Machinery]

“Unfortunately, our business is experiencing the sharpest decline in order levels in a year. We were well below our budget target in June; as a result, it was the first month this year that we had negative net income.” [Fabricated Metal Products]

“Business is slowing, and we are taking cost actions.” [Electrical Equipment, Appliances & Components]

“Some markets that are usually unwavering are showing weakness. Weather is the common factor, but only so much.” [Nonmetallic Mineral Products]

“Our sales forecast for July and August are slow, but we’re making every attempt to remedy that situation. Our medical end-user customers continue to meet their forecasts, which is promising.” [Textile Mills]

“Elevated financing costs have dampened demand for residential investment. This has reduced our need for component products and inventory.” [Wood Products]

MANUFACTURING AT A GLANCE
July 2024
Index Series
IndexJul
Series
IndexJun
Percentage

Point

Change

Direction Rate of
Change
Trend*
(Months)
Manufacturing PMI® 46.8 48.5 -1.7 Contracting Faster 4
New Orders 47.4 49.3 -1.9 Contracting Faster 4
Production 45.9 48.5 -2.6 Contracting Faster 2
Employment 43.4 49.3 -5.9 Contracting Faster 2
Supplier Deliveries 52.6 49.8 +2.8 Slowing From Faster 1
Inventories 44.5 45.4 -0.9 Contracting Faster 18
Customers’ Inventories 45.8 47.4 -1.6 Too Low Faster 8
Prices 52.9 52.1 +0.8 Increasing Faster 7
Backlog of Orders 41.7 41.7 0.0 Contracting Same 22
New Export Orders 49.0 48.8 +0.2 Contracting Slower 2
Imports 48.6 48.5 +0.1 Contracting Slower 2
OVERALL ECONOMY Growing Slower 51
Manufacturing Sector Contracting Faster 4

Manufacturing ISM Report On Business data is seasonally adjusted for the New Orders, Production, Employment and Inventories indexes.

*Number of months moving in current direction.

Commodities Reported Up/Down In Price And In Short Supply

Commodities Up in Price
Aluminum (8); Aluminum Products (2); Caustic Soda; Copper* (4); Corrugate; Corrugated Boxes; Electrical Components (3); High-Density Polyethylene (HDPE) Resin; Ocean Freight (3); Paper Products; Plastic Based Products; Plastic Resins (7); Polypropylene Resin; and Titanium Dioxide (2).

Commodities Down in Price
Copper*; Crude Oil; Natural Gas; Steel (3); Steel — Carbon (4); Steel — Hot Rolled (3); Steel — Scrap (3); Steel Products (2); and Sulfur.

Commodities in Short Supply
Electrical Components (46); Electrical Equipment; Electronic Components (4); Hydraulic Components; and Semiconductors.

Note: The number of consecutive months the commodity is listed is indicated after each item.
*Indicates both up and down in price.

July 2024 Manufacturing Index Summaries 

Manufacturing PMI®
The U.S. manufacturing sector contracted for the fourth consecutive month in July, as the Manufacturing PMI registered 46.8 percent, down 1.7 percentage points compared to June’s reading of 48.5 percent. “After breaking a 16-month streak of contraction by expanding in March, the manufacturing sector has contracted the last four months, and at a faster rate in July. Of the five subindexes that directly factor into the Manufacturing PMI®, only one (Supplier Deliveries) was in expansion territory, up from zero in June. The New Orders Index remained in contraction and moved downward in July. None of the six biggest manufacturing industries registered growth,” says Fiore. A reading above 50 percent indicates that the manufacturing sector is generally expanding; below 50 percent indicates that it is generally contracting.

A Manufacturing PMI above 42.5 percent, over a period of time, generally indicates an expansion of the overall economy. Therefore, the July Manufacturing PMI indicates the overall economy grew for the 51st straight month after last contracting in April 2020. “The past relationship between the Manufacturing PMI and the overall economy indicates that the July reading (46.8 percent) corresponds to a change of plus-1.2 percent in real gross domestic product (GDP) on an annualized basis,” says Fiore.

The Last 12 Months

Month Manufacturing
PMI®
Month Manufacturing
PMI®
Jul 2024 46.8 Jan 2024 49.1
Jun 2024 48.5 Dec 2023 47.1
May 2024 48.7 Nov 2023 46.6
Apr 2024 49.2 Oct 2023 46.9
Mar 2024 50.3 Sep 2023 48.6
Feb 2024 47.8 Aug 2023 47.6
Average for 12 months – 48.1

High – 50.3

Low – 46.6

 

New Orders
ISM’s New Orders Index contracted in July for the fourth consecutive month, registering 47.4 percent, a decrease of 1.9 percentage points compared to June’s figure of 49.3 percent. The New Orders Index hasn’t indicated consistent growth since a 24-month streak of expansion ended in May 2022. “Of the six largest manufacturing sectors, two (Computer & Electronic Products; and Chemical Products) reported increased new orders. Panelists’ comments noted a continued level of uncertainty and concern about a lack of new order activity, with confidence in the future economic environment reaching its lowest level since the coronavirus pandemic recovery,” says Fiore. A New Orders Index above 52.3 percent, over time, is generally consistent with an increase in the Census Bureau’s series on manufacturing orders (in constant 2000 dollars).

The six manufacturing industries that reported growth in new orders in July, in order, are: Nonmetallic Mineral Products; Paper Products; Petroleum & Coal Products; Computer & Electronic Products; Furniture & Related Products; and Chemical Products. The eight industries reporting a decline in new orders in July — in the following order — are: Primary Metals; Transportation Equipment; Fabricated Metal Products; Food, Beverage & Tobacco Products; Machinery; Electrical Equipment, Appliances & Components; Plastics & Rubber Products; and Miscellaneous Manufacturing.

New Orders %Higher %Same %Lower Net Index
Jul 2024 19.0 53.0 28.0 -9.0 47.4
Jun 2024 20.3 59.1 20.6 -0.3 49.3
May 2024 19.0 57.4 23.6 -4.6 45.4
Apr 2024 19.9 63.2 16.9 +3.0 49.1

 

Production
The Production Index continued in contraction territory in July, registering 45.9 percent, 2.6 percentage points lower than the June reading of 48.5 percent. None of the six largest manufacturing sectors reported increased production. The index recorded its lowest performance since May 2020, when it registered 34.2 percent. “Panelists’ companies significantly reduced output levels compared to June. New order rates remain weak, and backlog levels continue to decline. Companies continue to avoid investing in inventory due to the current economic uncertainty,” says Fiore. An index above 52.2 percent, over time, is generally consistent with an increase in the Federal Reserve Board’s Industrial Production figures.

The four industries reporting growth in production during the month of July are: Printing & Related Support Activities; Furniture & Related Products; Paper Products; and Miscellaneous Manufacturing. The 10 industries reporting a decrease in production in July, in order, are: Petroleum & Coal Products; Machinery; Textile Mills; Primary Metals; Food, Beverage & Tobacco Products; Transportation Equipment; Electrical Equipment, Appliances & Components; Fabricated Metal Products; Plastics & Rubber Products; and Computer & Electronic Products.

Production %Higher %Same %Lower Net Index
Jul 2024 15.2 60.1 24.7 -9.5 45.9
Jun 2024 22.8 56.9 20.3 +2.5 48.5
May 2024 19.8 62.6 17.6 +2.2 50.2
Apr 2024 22.1 62.6 15.3 +6.8 51.3

 

Employment
ISM®’s Employment Index registered 43.4 percent in July, 5.9 percentage points lower than the June reading of 49.3 percent. The index recorded its lowest level since a reading of 42 percent in June 2020. “The index contracted for the second consecutive month after an expansion in May, which broke a seven-month streak of contraction. None of the six big manufacturing sectors expanded employment in July. Respondents’ companies are continuing to reduce head counts through layoffs, attrition and hiring freezes. Panelists’ comments in July indicated a notable increase in staff reductions compared to June, supported by the approximately 1-to-1.8 ratio of hiring versus head-count reduction comments,” says Fiore. An Employment Index above 50.3 percent, over time, is generally consistent with an increase in the Bureau of Labor Statistics (BLS) data on manufacturing employment.

Of 18 manufacturing industries, the two industries reporting employment growth in July are: Nonmetallic Mineral Products; and Miscellaneous Manufacturing. The 13 industries reporting a decrease in employment in July, in the following order, are: Textile Mills; Electrical Equipment, Appliances & Components; Paper Products; Petroleum & Coal Products; Plastics & Rubber Products; Wood Products; Primary Metals; Chemical Products; Computer & Electronic Products; Food, Beverage & Tobacco Products; Machinery; Fabricated Metal Products; and Transportation Equipment.

Employment %Higher %Same %Lower Net Index
Jul 2024 9.8 68.7 21.5 -11.7 43.4
Jun 2024 16.8 66.1 17.1 -0.3 49.3
May 2024 17.1 69.0 13.9 +3.2 51.1
Apr 2024 16.3 67.9 15.8 +0.5 48.6

 

Supplier Deliveries†
Delivery performance of suppliers to manufacturing organizations was slower in July, with the Supplier Deliveries Index registering 52.6 percent, a 2.8-percentage point gain compared to the reading of 49.8 percent reported in June. This is the first month of slower deliveries after four consecutive months of faster deliveries. After a reading of 52.4 percent in September 2022, the index went into contraction territory the following month and remained there until February. Of the six big industries, three (Transportation Equipment; Chemical Products; and Computer & Electronic Products) reported slower supplier deliveries in July. “Supplier deliveries are slowing as panelists’ companies increasingly rely on their suppliers to manage their purchased material inventory, putting more strain on the supply chain,” says Fiore. A reading below 50 percent indicates faster deliveries, while a reading above 50 percent indicates slower deliveries.

The eight manufacturing industries reporting slower supplier deliveries in July — listed in order — are: Textile Mills; Petroleum & Coal Products; Wood Products; Transportation Equipment; Chemical Products; Electrical Equipment, Appliances & Components; Miscellaneous Manufacturing; and Computer & Electronic Products. The three industries reporting faster supplier deliveries in July are: Paper Products; Fabricated Metal Products; and Machinery. Seven industries reported no change in supplier deliveries in July as compared to June.

Supplier Deliveries %Slower %Same %Faster Net Index
Jul 2024 11.7 81.7 6.6 +5.1 52.6
Jun 2024 8.8 82.0 9.2 -0.4 49.8
May 2024 6.2 85.3 8.5 -2.3 48.9
Apr 2024 8.1 81.6 10.3 -2.2 48.9

 

Inventories
The Inventories Index registered 44.5 percent in July, down 0.9 percentage point compared to the reading of 45.4 percent reported in June. “Manufacturing inventories contracted at a faster rate compared to the previous month. None of the six big industries reported increased manufacturing inventories in July. Continuing demand uncertainty is causing panelists’ companies to reduce investment in inventory and remain reliant on suppliers to carry ‘on-demand’ inventory,” says Fiore. An Inventories Index greater than 44.4 percent, over time, is generally consistent with expansion in the Bureau of Economic Analysis (BEA) figures on overall manufacturing inventories (in chained 2000 dollars).

Of 18 manufacturing industries, two reported higher inventories in July: Petroleum & Coal Products; and Electrical Equipment, Appliances & Components. The 11 industries reporting lower inventories in July — in the following order — are: Wood Products; Nonmetallic Mineral Products; Plastics & Rubber Products; Primary Metals; Paper Products; Furniture & Related Products; Computer & Electronic Products; Chemical Products; Transportation Equipment; Machinery; and Miscellaneous Manufacturing.

Inventories %Higher %Same %Lower Net Index
Jul 2024 12.2 63.3 24.5 -12.3 44.5
Jun 2024 11.3 67.9 20.8 -9.5 45.4
May 2024 14.4 66.4 19.2 -4.8 47.9
Apr 2024 13.1 67.7 19.2 -6.1 48.2

 

Customers’ Inventories†
ISM®’s Customers’ Inventories Index registered 45.8 percent in July, down 1.6 percentage points compared to the 47.4 percent reported in June. “Customers’ inventory levels decreased at a faster rate in July, with the index moving downward to the upper end of ‘too low’ territory. Panelists report their companies’ customers have decreased amounts of their products in inventory compared to the previous month, which is considered a positive for future new orders and production,” says Fiore.

The eight industries reporting customers’ inventories as too high in July, in order, are: Textile Mills; Furniture & Related Products; Wood Products; Plastics & Rubber Products; Fabricated Metal Products; Electrical Equipment, Appliances & Components; Miscellaneous Manufacturing; and Chemical Products. The six industries reporting customers’ inventories as too low in July, in order, are: Computer & Electronic Products; Paper Products; Primary Metals; Food, Beverage & Tobacco Products; Transportation Equipment; and Machinery.

Customers’
Inventories
%
Reporting
%Too
High
%About
Right
%Too
Low
 

Net

 

Index

Jul 2024 79 13.5 64.5 22.0 -8.5 45.8
Jun 2024 78 13.6 67.5 18.9 -5.3 47.4
May 2024 75 14.8 66.9 18.3 -3.5 48.3
Apr 2024 76 15.6 64.3 20.1 -4.5 47.8

 

Prices†
The ISM® Prices Index registered 52.9 percent, 0.8 percentage point higher compared to the June reading of 52.1 percent, indicating raw materials prices increased in July for the seventh month after eight consecutive months of decreases. Of the six largest manufacturing industries, three — Chemical Products; Computer & Electronic Products; and Food, Beverage & Tobacco Products — reported price increases in July. “The Prices Index indicated expansion in July, at a faster rate compared to the previous month. Commodity prices continue to be volatile, especially oil, natural gas, aluminum and plastic resins. Steel prices have reached long-term historical lows, supported by declining scrap prices. Twenty-three percent of companies reported higher prices in July, compared to 20 percent in June,” says Fiore. A Prices Index above 52.8 percent, over time, is generally consistent with an increase in the Bureau of Labor Statistics (BLS) Producer Price Index for Intermediate Materials.

In July, the 10 industries that reported paying increased prices for raw materials, in order, are: Textile Mills; Plastics & Rubber Products; Printing & Related Support Activities; Miscellaneous Manufacturing; Wood Products; Chemical Products; Furniture & Related Products; Computer & Electronic Products; Electrical Equipment, Appliances & Components; and Food, Beverage & Tobacco Products. The four industries reporting paying decreased prices for raw materials in July are: Fabricated Metal Products; Paper Products; Machinery; and Transportation Equipment.

Prices %Higher %Same %Lower Net Index
Jul 2024 22.6 60.5 16.9 +5.7 52.9
Jun 2024 20.2 63.8 16.0 +4.2 52.1
May 2024 25.5 63.0 11.5 +14.0 57.0
Apr 2024 30.8 60.1 9.1 +21.7 60.9

 

Backlog of Orders†
ISM®’s Backlog of Orders Index registered 41.7 percent, the same reading as in June, indicating order backlogs contracted for the 22nd consecutive month after a 27-month period of expansion. For the second consecutive month, the index recorded its lowest reading since November 2023, when it registered 39.3 percent. None of the six largest manufacturing industries reported expanded order backlogs in July. “The index remained in contraction in July, as new order rates were insufficient to allow backlogs to grow. After 22 months of backlog contraction, it is believed that order books are now at historically low levels,” says Fiore.

Of the 18 manufacturing industries, the only one that reported growth in order backlogs in July is Petroleum & Coal Products. The 13 industries reporting lower backlogs in July — in the following order — are: Wood Products; Nonmetallic Mineral Products; Primary Metals; Plastics & Rubber Products; Food, Beverage & Tobacco Products; Textile Mills; Electrical Equipment, Appliances & Components; Machinery; Furniture & Related Products; Transportation Equipment; Fabricated Metal Products; Miscellaneous Manufacturing; and Chemical Products.

Backlog of
Orders
%
Reporting
 

%Higher

 

%Same

 

%Lower

 

Net

 

Index

Jul 2024 91 12.9 57.5 29.6 -16.7 41.7
Jun 2024 90 10.7 61.9 27.4 -16.7 41.7
May 2024 91 12.3 60.1 27.6 -15.3 42.4
Apr 2024 90 12.2 66.4 21.4 -9.2 45.4

 

New Export Orders†
ISM®’s New Export Orders Index registered 49 percent in July, up 0.2 percentage point from June’s reading of 48.8 percent. “The New Export Orders Index reading indicates that export orders contracted for a second month after expanding in May and contracting in April, with two straight months of expansion before that. As was experienced in June, new export orders remain sluggish as international trading partners continue to struggle with weak economies,” says Fiore.

The four industries reporting growth in new export orders in July are: Paper Products; Primary Metals; Food, Beverage & Tobacco Products; and Miscellaneous Manufacturing. The six industries reporting a decrease in new export orders in July — in the following order — are: Computer & Electronic Products; Machinery; Electrical Equipment, Appliances & Components; Fabricated Metal Products; Transportation Equipment; and Chemical Products. Seven industries reported no change in new export orders in July as compared to June.

New Export
Orders
%
Reporting
 

%Higher

 

%Same

 

%Lower

 

Net

 

Index

Jul 2024 74 8.9 80.2 10.9 -2.0 49.0
Jun 2024 73 10.3 76.9 12.8 -2.5 48.8
May 2024 72 10.0 81.1 8.9 +1.1 50.6
Apr 2024 74 9.7 78.0 12.3 -2.6 48.7

 

Imports†
ISM®’s Imports Index cooled again in July with a reading of 48.6 percent, an increase of 0.1 percentage point compared to June’s figure of 48.5 percent. “Imports contracted for the second month in a row after five consecutive months of expansion preceded by 14 consecutive months of contraction. Since the beginning of April, respondents’ companies have limited their investments in inventory, as growth prospects remain cloudy. Ocean freight costs continue to rise and access to equipment remains challenged as a result of extended transit times, reducing container and ship availability,” says Fiore.

The four industries reporting an increase in import volumes in July are: Petroleum & Coal Products; Primary Metals; Chemical Products; and Food, Beverage & Tobacco Products. The nine industries that reported lower volumes of imports in July, in order, are: Nonmetallic Mineral Products; Wood Products; Electrical Equipment, Appliances & Components; Miscellaneous Manufacturing; Plastics & Rubber Products; Transportation Equipment; Fabricated Metal Products; Machinery; and Computer & Electronic Products.

Imports %
Reporting
 

%Higher

 

%Same

 

%Lower

 

Net

 

Index

Jul 2024 84 9.8 77.5 12.7 -2.9 48.6
Jun 2024 83 8.7 79.6 11.7 -3.0 48.5
May 2024 85 14.8 72.6 12.6 +2.2 51.1
Apr 2024 85 11.6 80.6 7.8 +3.8 51.9

†The Supplier Deliveries, Customers’ Inventories, Prices, Backlog of Orders, New Export Orders, and Imports indexes do not meet the accepted criteria for seasonal adjustments.

Buying Policy
The average commitment lead time for Capital Expenditures in July was 177 days, a decrease of two days compared to June. Average lead time in July for Production Materials was 77 days, a decrease of three days compared to June. Average lead time for Maintenance, Repair and Operating (MRO) Supplies was 46 days, an increase of three days compared to June.

Percent Reporting
Capital
Expenditures
Hand-to-
Mouth
30 Days 60 Days 90 Days 6 Months 1 Year+ Average
Days
Jul 2024 16 3 7 14 32 28 177
Jun 2024 14 3 11 14 28 30 179
May 2024 15 3 9 15 32 26 172
Apr 2024 17 4 8 13 32 26 170
Percent Reporting
Production
Materials
Hand-to-
Mouth
30 Days 60 Days 90 Days 6 Months 1 Year+ Average
Days
Jul 2024 7 29 25 27 8 4 77
Jun 2024 8 24 27 28 9 4 80
May 2024 6 26 31 23 10 4 80
Apr 2024 7 23 29 30 7 4 79

 

Percent Reporting
MRO Supplies Hand-to-
Mouth
30 Days 60 Days 90 Days 6 Months 1 Year+ Average
Days
Jul 2024 28 35 19 13 4 1 46
Jun 2024 29 36 16 14 5 0 43
May 2024 29 38 15 13 4 1 44
Apr 2024 29 37 17 12 4 1 44

 

Posted: August 1, 2024

Source: Institute for Supply Management® (ISM®)

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