White House Report Highlights Growth in U.S. Manufacturing, Employment, and Exports

-Editorial

The White House Council of Economic Advisers released a report in October 2026 highlighting increases in manufacturing employment, industrial production, wages, business investment, and exports during President Donald Trump’s second term.

The report, titled “The State of American Manufacturing,” examines federal economic data and private-sector indicators to assess manufacturing activity and the administration’s economic policies.

According to the council, manufacturing employment increased by 72,000 jobs during the first nine months of 2026, driven primarily by durable goods production. The sector added approximately 101,000 durable goods positions, including 21,000 in metal production and 17,000 in transportation equipment manufacturing.

The administration contrasted those gains with manufacturing employment declines during the final two years of former President Joe Biden’s administration, when the sector lost more than 200,000 jobs.

However, manufacturing employment trends reflect multiple economic factors, including consumer demand, interest rates, international trade conditions, and business investment decisions.

The report cited the S&P Global U.S. Manufacturing Purchasing Managers’ Index, which reached 55.9 in September 2026, indicating continued expansion. Readings above 50 generally signal improving manufacturing conditions.

Federal Reserve industrial production figures also showed increases across several industries.

Semiconductor and printed circuit board manufacturing increased 22% year over year, while business vehicle production rose 16.1% and transit equipment manufacturing increased 11.2%.

Computer and electronic products manufacturing grew 8.7%, defense and space equipment production increased 7.1%, and machinery manufacturing rose 6.3%.

The council also examined wages and employment opportunities.

According to its analysis of Bureau of Labor Statistics data, nominal manufacturing wages increased 7.9% between January 2025 and August 2026. Production and nonsupervisory manufacturing employees experienced a 9.2% increase.

After adjusting for inflation, the council estimated annualized earnings gains of $1,945 for manufacturing workers and $2,486 for production and nonsupervisory employees.

Manufacturing job openings increased 25% over the previous year, while layoffs declined approximately 25%, according to the report.

Construction employment increased by approximately 100,000 positions since January 2025, including substantial growth in nonresidential specialty trade construction.

The administration attributed some economic developments to tax provisions encouraging capital investment and allowing deductions related to overtime compensation.

The report identified several manufacturers expanding operations, including Ketchie Inc. in North Carolina, Munson Boats in Washington, and Vermeer Corp. in Iowa.

Munson Boats added approximately 6,000 square feet of production space and 15 jobs, while Vermeer indicated that planned investments could support between 150 and 200 additional positions.

The council also highlighted major corporate investment announcements, including $250 billion from Micron Technology, $600 billion from Apple and $13 billion from Stellantis.

These commitments represent announced investment plans rather than expenditures already completed.

Gross domestic product figures showed durable goods manufacturing value added increased 8.3% year over year during the second quarter of 2026, while nondurable goods manufacturing increased 9.5%.

International trade figures showed U.S. goods exports increased 15% during the first eight months of 2026 compared with the corresponding period in 2025.

Computer exports increased 46%, semiconductor exports rose 26% and capital goods exports increased 14%.

Meanwhile, capital goods imports increased 39%, potentially reflecting business investment in equipment and technology.

The council attributed manufacturing improvements partly to tariffs, tax changes and policies encouraging domestic production.

However, the report did not comprehensively examine potential costs associated with tariffs or establish how much economic growth resulted directly from administration policies.

The findings provide the administration’s assessment of manufacturing conditions, with several indicators showing growth across industrial sectors during 2026.