U.S. manufacturing production fell in August for the first time this year, as declines in motor vehicles and aerospace led a broader retreat across several sectors.
\n\nFactory output dropped 0.3 percent after rising 0.2 percent in July, the Federal Reserve said Friday. The decline ended seven consecutive monthly increases, although manufacturing production remained 0.9 percent above its year-earlier level.
\n\nTransportation equipment was a major drag. Production of motor vehicles and parts fell 1.2 percent, following a 0.8 percent decline in July. Aerospace and miscellaneous transportation equipment also dropped 1.2 percent, reversing much of the previous month’s 1.4 percent gain.
\n\nTogether, those two industries accounted for approximately half the manufacturing decline, based on a calculation using the Fed’s published industry weights and rounded monthly changes. The industry breakdown shows that transportation’s weakness coincided with smaller declines across a range of other manufacturers.
\n\nMotor vehicle assemblies slowed to a seasonally adjusted annual rate of 10.43 million units from 10.81 million in July, marking a third consecutive monthly decline. Both car and truck assemblies fell, according to the Fed’s assembly figures.
\n\nThe weakness extended beyond the auto industry. Manufacturing output excluding motor vehicles and parts fell 0.2 percent. Durable manufacturing, which includes longer-lasting…
Original source: https://www.breitbart.com/economy/