INDUSTRIAL PRODUCTION AND CAPACITY UTILIZATION
[2001 Revision Notice Below]
Industrial production fell 1.0 percent in September, its twelfth consecutive monthly
decline. At 140.3 percent of its 1992 average, output was 5.8 percent below its level in
September 2000. For the third quarter as a whole, total industrial production declined at an
annual rate of 6.2 percent. Manufacturing output contracted 1.1 percent in September and was
6.7 percent below its year-ago level. Utilities production fell 1.8 percent in September, and
mining output increased 0.3 percent. The rate of capacity utilization for total industry sank 0.9
percentage point, to 75.5 percent, a level 6.6 percentage points below its 1967-2000 average and
about 7 percentage points below its level in September 2000.
INDUSTRIAL PRODUCTION AND CAPACITY UTILIZATION: SUMMARY
Seasonally adjusted
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| 1992=100 | Percent change
| ----------------------------------------------- | -------------------------------------------------
| 2001 | 2001 | Sept. '00 to
Industrial production | June July Aug. Sept. | June July Aug. Sept. | Sept. '01
-----------------------------------------------------------------------------------------------------------------------------------
| | |
Total index | 142.8 142.7 141.8 140.3 | -1.0 -.1 -.7 -1.0 | -5.8
Previous estimates | 142.7 142.6 141.5 | -1.0 -.1 -.8 |
| | |
Major market groups: | | |
Products, total | 132.4 132.5 131.3 129.9 | -.9 .0 -.8 -1.1 | -5.0
Consumer goods | 121.6 121.9 120.9 120.1 | -.5 .2 -.8 -.7 | -3.0
Business equipment | 187.1 186.7 184.8 180.5 | -2.5 -.2 -1.0 -2.3 | -9.5
Construction supplies | 139.0 139.0 138.5 137.6 | -.2 .0 -.4 -.6 | -3.9
Materials | 161.4 161.1 160.5 159.2 | -1.1 -.2 -.4 -.9 | -7.1
| | |
Major industry groups: | | |
Manufacturing | 147.5 147.6 146.3 144.7 | -1.2 .1 -.9 -1.1 | -6.7
Durable | 186.9 187.6 185.7 182.5 | -1.7 .3 -1.0 -1.8 | -8.0
Nondurable | 111.5 111.3 110.5 110.1 | -.6 -.2 -.7 -.3 | -5.0
Mining | 103.4 102.3 102.0 102.3 | -.4 -1.0 -.3 .3 | 1.8
Utilities | 119.9 119.0 121.3 119.1 | .3 -.7 1.9 -1.8 | -2.1
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| | Capacity
| Percent of capacity | growth
| --------------------------------------------------------------------------------- | ---------------
| Average 1982 1988-89 2000 | 2001 | Sept. '00 to
Capacity utilization | 1967-2000 Low High Sept. | June July Aug. Sept. | Sept. '01
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| | |
Total industry | 82.1 71.1 85.4 82.4 | 77.1 77.0 76.4 75.5 | 2.9
Previous estimates | | 77.1 76.9 76.2 |
| | |
Manufacturing | 81.1 69.0 85.7 81.7 | 75.6 75.5 74.8 73.8 | 3.2
Advanced processing | 80.6 71.0 84.2 80.2 | 76.1 76.0 75.3 74.3 | 2.0
Primary processing | 82.2 65.7 88.3 85.2 | 75.8 75.6 74.8 74.0 | 5.4
Mining | 87.4 80.3 88.0 86.4 | 90.0 89.2 89.0 89.3 | -1.4
Utilities | 87.6 75.9 92.6 91.0 | 87.2 86.3 87.6 85.7 | 3.9
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Note: Estimates for September are preliminary. Estimates from June to August are revised.
Market Groups
The output of consumer goods fell 0.7 percent in September; for the third quarter as a
whole, production dropped 3.2 percent at an annual rate, the largest quarterly decline since the
first quarter of 1991. Both durable and nondurable consumer goods fell in September. Among
durables, home electronics dropped 3.0 percent and was 19.1 percent below its level in
September 2000. The output of automotive products also fell about 3 percent, while the other
major categories of consumer durables registered smaller declines. Nondurable consumer goods,
which slipped 0.3 percent, showed declines in all categories except paper products, which
increased 0.4 percent.
The production of business equipment dropped 2.3 percent in September; for the third
quarter as a whole, it tumbled 13.4 percent at an annual rate, its largest quarterly decline since
the fourth quarter of 1982. All major categories declined in September; the output indexes for
transit equipment and for industrial and other equipment have contracted nearly 12 percent in the
past twelve months. The production of defense and space equipment, which ticked up 0.2
percent in September, was 3.6 percent above its September 2000 level.
The output of construction supplies decreased 0.6 percent in September, while the output
of business supplies fell 1.5 percent; a sharp cutback in jet fuel production, which was related to
the reduction in air traffic, contributed importantly to the drop for business supplies. The
production of industrial materials declined 0.9 percent, with a large drop in durable goods
materials and little change, on balance, in either nondurable or energy materials. For the third
quarter as a whole, production of industrial materials fell at an annual rate of 6.4 percent.
Industry Groups
Manufacturing output fell 1.1 percent in September and the weakness was widespread
among industries. In the third quarter, manufacturing declined at an annual rate of 6.6 percent,
after having fallen at a 5.1 percent rate in the second quarter. The overall production both of
durable and nondurable goods decreased in the third quarter; output rose during the quarter in
only two industries--motor vehicles and parts and lumber and products. Among durable goods,
the largest third-quarter declines were in machinery, especially the high-technology industries
(computers, communications equipment, and semiconductors). Also down notably were
furniture and fixtures, primary metals, aerospace and miscellaneous transportation equipment,
and miscellaneous manufacturing. Among nondurables, declines were largest in apparel
products, textile mill products, petroleum products, printing and publishing, and paper and
products. In September, all major industry groups in manufacturing were below year-ago levels.
The overall factory operating rate declined about 1 percentage point, to 73.8 percent, a level 7.3
percentage points below the 1967-2000 average.
A 0.3 percent increase in the production at mines retraced the August decline; the
utilization rate at mines rose 0.3 percentage point, to 89.3 percent, a level about 2 percentage
points above its 1967-2000 average. The output of utilities fell back 1.8 percent in September; at
85.7 percent, the operating rate at utilities was about 2 percentage points below its long-term
average.
Revision of Industrial Production and Capacity Utilization
On November 27, the Federal Reserve Board will publish revisions to the index of
industrial production (IP), to the related measures of capacity and capacity utilization, and to the
index of industrial use of electric power. The updated measures will reflect the incorporation of
newly available, more comprehensive source data typical of annual revisions. The new source
data are for recent years, primarily 1999 and 2000, although data from 1992 onward will be
subject to revision.
Industrial production and capacity utilization will continue to be based on the 1987
Standard Industrial Classification (SIC) until the 2002 annual revision, after which they will be
constructed from the North American Industrial Classification System (NAICS). The new
NAICS-related production indexes will be based on annual output measures that are constructed
by reclassifying the establishments in historical Censuses of Manufactures and Mineral
Industries under NAICS; annual output indexes constructed this way will maximize the
reliability and historical consistency of the IP industry detail.
The updating of source data for IP in the 2001 annual revision will include annual data
from the 1999 Bureau of the Census Annual Survey of Manufactures and from selected editions
of its 1999 and 2000 Current Industrial Reports. Annual data from the U.S. Geological Survey
regarding metallic and nonmetallic minerals (except fuels) for 1999 and 2000 will also be
introduced. The updating will include revisions to the monthly indicator for each industry
(either physical product data, production-worker hours, or electric power usage) and to seasonal
factors.
Capacity and capacity utilization will be revised to incorporate preliminary data from the
2000 Survey of Plant Capacity of the Bureau of the Census, which covers manufacturing, along
with other new data on capacity from the U.S. Geological Survey, the Department of Energy,
and other organizations. The statistics on the industrial use of electric power will incorporate
additional information received from utilities for the past few years and will include some data
from the 1997 Census of Manufactures and the 1998 and 1999 Annual Survey of Manufactures.
Once the revision is published, it will be made available on the Board's web site
(www.federalreserve.gov/releases/g17). The revised data will also be available through the web
site of the Department of Commerce. Further information on these revisions is available from
the Board's Industrial Output Section (telephone 202-452-3197).
G.17 Release Tables:
Ascii | Screen reader | Summary: Industrial Production and Capacity Utilization |
Chart | | Chart 1: Industrial Production and Capacity Utilization | Ascii | Screen reader | Table 1:Industrial Production: Market and Industry Groups (percent change) |
Ascii | Screen reader | Table 2:Industrial Production: Special Aggregates and Selected Detail (percent change) |
Ascii | Screen reader | Table 3: Motor Vehicle Assemblies |
Ascii | Screen reader | Table 4: Industrial Production Indexes: Market and Industry Group Summary |
Ascii | Screen reader | Table 5: Industrial Production Indexes: Special Aggregates |
Ascii | Screen reader | Table 6: Capacity Utilization: Manufacturing, Mining, and Utilities |
Ascii | Screen reader | Table 7: Industrial Capacity: Manufacturing, Mining, and Utilities (percent change) |
Ascii | Screen reader | Table 8: Industrial Production: Gross Value of Products |
Ascii | Screen reader | Table 9: Diffusion Indexes of Industrial Production |
Ascii | Screen reader | Table 10: Electric Power Use: Manufacturing and Mining |
Ascii | Screen reader | Table 11: Historical Statistics for IP, Capacity, and Utilization: Total Industry |
Ascii | Screen reader | Table 12: Historical Statistics for IP, Capacity, and Utilization: Manufacturing |
Ascii | Screen reader | Table 13: Historical Statistics for IP, Capacity, and Utilization: Total Industry excluding Selected High-Technology Industries |
Ascii | Screen reader | Table 14: Historical Statistics for IP, Capacity, and Utilization: Manufacturing excluding Selected High-Technology Industries |
Release dates |
Historical data |
Documentation
Current Release |
ASCII |
PDF (144 KB)
Supplemental Release |
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Last update: October 25, 2001, 9:15 AM