INDUSTRIAL PRODUCTION AND CAPACITY UTILIZATION
[2004 Revision Notice Below]
Industrial production increased 0.4 percent in July; output in June was revised down and
is now estimated to have decreased 0.5 percent. Utilities output fell noticeably in both months.
In manufacturing, a production gain of 0.6 percent in July more than reversed the previous
month's decline. Mining output also moved back up in July after a decline in June.
At 116.2 percent of its 1997 average, industrial production in July was 4.9 percent above
its level a year earlier. Capacity utilization for total industry rose 0.2 percentage point in July, to
77.1 percent, a rate 4.0 percentage points below its 1972-2003 average.
INDUSTRIAL PRODUCTION AND CAPACITY UTILIZATION: SUMMARY
Seasonally adjusted
Industrial production |
1997=100 |
Percent change |
2004 |
2004 |
July '03 to July '04 |
Apr. |
May |
June |
July |
Apr. |
May |
June |
July |
|
|
|
|
|
|
|
|
|
|
Total index |
115.3 |
116.3 |
115.8 |
116.2 |
.5 |
.9 |
-.5 |
.4 |
4.9 |
Previous estimates |
115.5 |
116.5 |
116.2 |
|
.8 |
.9 |
-.3 |
|
|
|
|
|
|
|
|
|
|
|
|
Major market groups |
|
|
|
|
|
|
|
|
|
Final Products |
111.0 |
112.1 |
111.2 |
111.9 |
.3 |
1.0 |
-.7 |
.6 |
4.4 |
Consumer goods |
108.6 |
109.5 |
108.2 |
108.5 |
.1 |
.9 |
-1.2 |
.2 |
2.5 |
Business equipment |
117.3 |
118.9 |
119.4 |
121.2 |
.9 |
1.4 |
.4 |
1.5 |
10.8 |
Nonindustrial supplies |
113.8 |
114.6 |
114.2 |
114.6 |
1.4 |
.7 |
-.4 |
.4 |
5.5 |
Construction |
106.0 |
106.8 |
106.5 |
106.6 |
.8 |
.8 |
-.3 |
.1 |
5.0 |
Materials |
120.2 |
121.3 |
121.1 |
121.3 |
.5 |
.9 |
-.2 |
.2 |
5.1 |
|
|
|
|
|
|
|
|
|
|
Major industry groups |
|
|
|
|
|
|
|
|
|
Manufacturing (see note below) |
117.1 |
117.7 |
117.5 |
118.2 |
.7 |
.5 |
-.2 |
.6 |
5.8 |
Previous estimates |
117.1 |
117.8 |
117.7 |
|
.7 |
.6 |
-.1 |
|
|
Mining |
93.1 |
93.1 |
92.3 |
93.4 |
.4 |
.0 |
-.8 |
1.2 |
.0 |
Utilities |
112.9 |
118.0 |
115.0 |
112.6 |
-.5 |
4.6 |
-2.6 |
-2.0 |
1.2 |
Capacity utilization |
Percent of capacity |
Capacity growth July '03 to July '04 |
Average 1972-2003 |
1982 Low |
1988-89 High |
2003 July |
2004 |
Apr. |
May |
June |
July |
|
|
|
|
|
|
|
|
|
|
Total industry |
81.1 |
70.9 |
85.2 |
74.5 |
76.8 |
77.4 |
76.9 |
77.1 |
1.4 |
Previous estimates |
|
|
|
|
77.0 |
77.6 |
77.2 |
|
|
|
|
|
|
|
|
|
|
|
|
Manufacturing (see note below) |
80.0 |
68.7 |
85.6 |
73.0 |
75.9 |
76.2 |
75.9 |
76.3 |
1.3 |
Previous estimates |
|
|
|
|
75.9 |
76.2 |
76.0 |
|
|
Mining |
86.9 |
78.6 |
85.6 |
85.0 |
84.8 |
84.8 |
84.1 |
85.0 |
.0 |
Utilities |
86.9 |
77.6 |
92.8 |
83.4 |
82.5 |
86.2 |
83.9 |
82.2 |
2.7 |
|
|
|
|
|
|
|
|
|
|
Stage-of-process groups |
|
|
|
|
|
|
|
|
|
Crude |
86.3 |
77.2 |
88.5 |
83.9 |
84.6 |
84.8 |
84.7 |
85.5 |
-.3 |
Primary and semifinished |
82.2 |
68.1 |
86.4 |
76.3 |
78.9 |
79.7 |
79.1 |
78.9 |
2.1 |
Finished |
78.2 |
71.3 |
83.2 |
70.8 |
73.2 |
73.5 |
73.1 |
73.7 |
.7 |
r Revised. p Preliminary.
The statistics in this release cover output, capacity, and capacity utilization in the
industrial sector, which the Federal Reserve defines as manufacturing, mining, and electric and
gas utilities. Manufacturing comprises those industries included in the North American Industry
Classification System, or NAICS, manufacturing plus the logging and newspaper, periodical,
book and directory publishing industries that have traditionally been considered manufacturing and included
in the industrial sector.
Market Groups
The output of consumer goods rose 0.2 percent in July. In the consumer durable goods
category, which moved up 0.4 percent, both home electronics and miscellaneous goods
advanced, but appliances, furniture, and carpeting fell; the output of automotive products was
little changed after sharp decreases in May and June. The production of consumer nondurables
was up 0.2 percent, as an increase in non-energy consumer nondurables, including chemical
products, paper products, and foods and tobacco, more than offset a decline in the output of
consumer energy products.
The production of business equipment rose 1.5 percent in July, its ninth consecutive
monthly increase. Within transit equipment, a rise in motor vehicle output, particularly in
medium and heavy trucks, more than offset a decrease in the output of commercial aircraft. The
production of information processing equipment posted an above-average monthly gain of 2.2
percent, an increase marked by advances in most of its components. Increases in the output of
farm equipment, medical equipment and supplies, and construction machinery contributed to a
rise in the index for industrial and other equipment. Production of defense and space equipment
jumped 1.6 percent and was 5.3 percent above its year-ago level. An increase in the output of
business supplies reversed a moderate decline in the previous month, while construction supplies
edged up 0.1 percent in July. A rise of 0.2 percent in the output of materials reflected an
increase in non-energy materials and a decrease in energy materials. Continued gains in the
output of semiconductors boosted the index for durable goods materials 0.3 percent, and
nondurable goods materials moved up 0.4 percent.
Industry Groups
Production in manufacturing increased 0.6 percent in July, as both durables and
nondurables posted sizable gains in output. Capacity utilization in manufacturing stepped up to
76.3 percent, its highest level since May 2001. Output in durable manufacturing rose 0.7 percent
in July after having been unchanged in June. The production of motor vehicles and parts fell for
a third straight month, primarily because of another drop in the parts component. Elsewhere in
durable manufacturing, declines in the indexes for wood products, primary metals, and furniture
and related products were more than offset by increases elsewhere, especially in computer and
electronic products, machinery, aerospace and miscellaneous transportation equipment, and
miscellaneous manufacturing. The output of nondurable manufacturers increased 0.4 percent,
with sizable increases in printing, chemicals, petroleum and coal products, and textile and
product mills.
In mining, increases in coal mining and in oil and gas extraction accounted for most of
the overall rise in July. Output at utilities moved down 2 percent. Capacity utilization in mining
jumped to 85.0 percent, while the operating rate at utilities moved down to 82.2 percent.
Capacity utilization for industries in the crude stage of processing increased 0.8
percentage point, to 85.5 percent, in July. For industries in the primary and semifinished stages,
it edged down more than 0.2 percentage point, to 78.9 percent. For industries in the finished
goods stage, it rose 0.6 percentage point, to 73.7 percent.
Revision of Industrial Production and Capacity Utilization
In fall 2004, the Federal Reserve Board plans to issue an annual revision to the index of
industrial production (IP), the related measures of capacity and capacity utilization, and the data
on industrial use of electric power; the date of the revision is subject to the availability of the
comprehensive source data from the Census Bureau's 2002 Economic Census. In addition to the
inclusion of these data, the revised IP indexes will incorporate data from selected editions of the
Census Bureau's 2002 and 2003 Current Industrial Reports. Annual data from the U.S.
Geological Survey regarding metallic and nonmetallic minerals (except fuels) for 2002 and 2003
will also be introduced. The updating will also include revisions to the monthly indicator for
each industry (either physical product data, production-worker hours, or electric power usage)
and revisions to seasonal factors.
Capacity and capacity utilization will be revised to incorporate preliminary data from the
Census Bureau's 2003 Survey of Plant Capacity, which covers manufacturing, along with 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 available data from the
2002 Economic Census.
Once the revision is published, it will be made available on the Board's web site at
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, Capacity, and Capacity Utilization | Chart | | Chart 2: Industrial Production and Capacity Utilization | Chart | | Chart 3: Industrial Production and Capacity Utilization, High Technology Industries | 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: Diffusion Indexes of Industrial Production |
Ascii | Screen reader | Table 7: Capacity Utilization: Manufacturing, Mining, and Utilities |
Ascii | Screen reader | Table 8: Industrial Capacity: Manufacturing, Mining, and Utilities (percent change) |
Ascii | Screen reader | Table 9: Industrial Production: Gross Value of Products and Nonindustrial Supplies |
Ascii | Screen reader | Table 10: Gross-Value-Weighted Industrial Production: Stage-of-Process Groups |
Ascii | Screen reader | Table 11: Electric Power Use: Manufacturing and Mining |
Ascii | Screen reader | Table 12: Historical Statistics for IP, Capacity, and Utilization: Total Industry |
Ascii | Screen reader | Table 13: Historical Statistics for IP, Capacity, and Utilization: Manufacturing |
Ascii | Screen reader | Table 14: Historical Statistics for IP, Capacity, and Utilization: Total Industry excluding Selected High-Technology Industries |
Ascii | Screen reader | Table 15: Historical Statistics for IP, Capacity, and Utilization: Manufacturing excluding Selected High-Technology Industries |
Release dates | Historical data | Documentation
Current Monthly Release Other formats: ASCII | PDF (144 KB)
Supplemental Monthly Release Other formats: ASCII | PDF (144 KB)
Annual Revision Release Other formats: ASCII | PDF (150 KB)
Statistical releases