Economy

ISM: Manufacturing expanded in March to 18-month high
Written by Brett Linton
April 1, 2024
Following 16 months of contraction, US manufacturing activity expanded in March, according to the latest report from the Institute for Supply Management (ISM).
The ISM Manufacturing PMI rose to 50.3% in March, up 2.5 percentage points February. The index is now at the highest level recorded since September 2022. A reading above 50 indicates the manufacturing economy is growing, while a reading below 50 indicates contraction.
However, ISM said the overall economy expanded for the 47th straight month in February after one month of contraction in April 2020. The institute noted that a Manufacturing PMI above 42.5%, over a period of time, usually indicates the overall economy is expanding.
“Demand was positive, output strengthened, and inputs remained accommodative,” ISM Chair Timothy R. Fiore said in a statement. “Demand remains at the early stages of recovery, with clear signs of improving conditions.”
Steel market comments
The report showcased two survey responses related to the steel industry. One respondent in the fabricated metal sector noted that business remained strong and that his company was meeting forecasts. He added that customers and raw material suppliers are not voicing any negativity about the market.
An executive in primary metals shared his thoughts on improving business conditions. “Continue to experience a softness in the industrial sector,” he said. “There is optimism that order activity will increase in the late second quarter, leading to improvement in this segment for the second half of the year. The aerospace and defense market is continuing to ramp up, and demand is outpacing supply in our supply chain.”
Nine manufacturing industries reported growth in March, ISM said, including primary metals, fabricated metal products, and transportation equipment.
“Of the six biggest manufacturing industries, four — Food, Beverage, and Tobacco Products; Fabricated Metal Products; Chemical Products; and Transportation Equipment, which account for a combined 54% of manufacturing gross domestic product — registered growth in March,” the group said.

Brett Linton
Read more from Brett LintonLatest in Economy

Second steel derivatives S232 inclusion window opens, business community voices concern
The US Department of Commerce announced that its second window for submitting applications for the inclusion of derivative steel and aluminum products in Section 232 tariffs is now open, according to the US Federal Register. September’s Inclusion Window Sept. 15 through Sept. 29, applicants can email requests for inclusions to the Defense Industrial Base Programs. The first […]

Steel Summit: ITR economist urges execs to prepare for growth, not recession
If the steel industry professionals who made it to the very final presentation of this year’s SMU Steel Summit were expecting another round of cautious forecasting, they were in for a surprise. Because what they got was a wake-up call.

ISM: Manufacturing growth remained down in August
US manufacturing activity remained muted in August despite a marginal gain from July's recent low, according to supply executives contributing to the Institute for Supply Management (ISM)’s latest report.

Steel Summit: Dr. Basu blames tariffs for riskier path ahead
Steel executives packed the main conference hall of the 2025 SMU Steel Summit on Tuesday, Aug. 26, to hear economist Dr. Anirban Basu lay out his blunt view of tariffs, inflation, and demand.

Steel Summit: Schneider sees SDI ‘on the edge of a very good run’
Steel Dynamics Inc. (SDI) President and Chief Operating Officer, Barry Schneider, remains bullish about the Fort Wayne, Ind.-based steelmaker’s position in the current market.