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

September 2008 --------------- Released 10:00 A.M. EST November 4, 2008
(M3-2(08)-09)
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 September, down two consecutive months, decreased $11.2 billion or 2.5 percent to $432.0 billion, the U.S. Census Bureau reported today. This followed a 4.3 percent August decrease. Excluding transportation, new orders decreased 3.7 percent. This was the largest percent decrease since the series was first stated on a NAICS basis in 1992. Shipments, also down two consecutive months, decreased $12.5 billion or 2.8 percent to $432.9 billion. This followed a 3.7 percent August decrease. Unfilled orders, up thirty-one of the last thirty-two months, increased $3.0 billion or 0.4 percent to $829.5 billion. This was at the highest level since the series was first stated on a NAICS basis in 1992 and followed a 0.3 percent August increase. The unfilled orders-to­shipments ratio was unchanged from 5.50 in August. Inventories, down following four consecutive monthly increases, decreased $4.1 billion or 0.7 percent to $558.7 billion. This followed a 0.7 percent August increase.The inventories-to-shipments ratio was 1.29, up from 1.26 in August.

New Orders

New orders for manufactured durable goods inSeptember, up four of the last five months, increased $1.8 billion or 0.9 percent to $207.9 billion, revised from the previously published 0.8 percent increase. This followed a 5.5 percent August decrease.

New orders for manufactured nondurable goods decreased $13.0 billion or 5.5 percent to $224.1 billion.

Shipments

Shipments of manufactured durable goods in September, up three of the last four months, increased$0.5 billion or 0.3 percent to $208.9 billion, revised from the previously published 0.2 percent increase. This followed a 4.2 percent August decrease.

Shipments of manufactured nondurable goods, down two consecutive months, decreased $13.0 billion or 5.5 percent to $224.1 billion. This was the largest percent decrease in nondurable goods shipments since September 2006 and followed a 3.2 percent August decrease. This decrease was led by petroleum and coal products, which decreased $10.9 billion or 16.9 percent to $53.7 billion. This was the largest decrease in petroleum and coal products since September 2006.

Unfilled Orders

Unfilled orders for manufactured durable goods in September, up thirty-one of the last thirty-two months, increased $3.0 billion or 0.4 percent to $829.5 billion, unchanged from the previously published increase. This was also at the highest level since the series was first stated on a NAICS basis in 1992 and followed a 0.3 percent August increase.

Inventories

Inventories of manufactured durable goods in September, up fourteen of the last fifteen months, increased $1.2 billion or 0.4 percent to $340.3 billion, unchanged from the previously published increase. This was also at the highest level since the series was first stated on a NAICS basis in 1992 and followed a 0.8 percent August increase.

Inventories of manufactured nondurable goods, down following four consecutive monthly increases, decreased $5.3 billion or 2.4 percent to $218.4 billion. This was the largest percent decrease since the series was first stated on a NAICS basis in 1992 and followed a 0.4 percent August increase. Petroleum and coal products led the decrease, down $3.6 billion or 8.3 percent to$39.8 billion.

By stage of fabrication, September materials and supplies increased 0.4 percent in durable goods and decreased 0.8 percent in nondurable goods. Work in process increased 0.5 percent in durable goods and decreased 3.3 percent in nondurable goods. Finished goods increased 0.2 percent in durable goods and decreased 3.1 percent in nondurable goods.

Released November 4, 2008. Note: All figures in text are in seasonally adjusted current dollars. The advance report on durable goods for October is scheduled for November 26, 2008 at 8:30 a.m. and the full report on December 4, 2008 at 10:00 a.m. For sale by the Superintendent of Documents, U.S. Government Printing Office, Washington, DC 20402.

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