Manufacturing activity in the United States expanded at its fastest rate in more than four years in July, according to a White House media release, which attributed the performance to President Donald Trump’s economic agenda and cited data showing stronger factory output, demand and hiring.
In a statement released on 3 August, the White House said the latest results from the Institute for Supply Management (ISM) Manufacturing Purchasing Managers’ Index (PMI) showed the sector had expanded for a seventh consecutive month.
The administration said the latest reading marked “a sharp reversal” from the contraction experienced during most months under the previous administration, apart from a temporary post-pandemic rebound.
The White House described the July results as evidence that “U.S. manufacturing activity surged in July at the strongest rate in more than four years — driven by soaring demand, record production, and a wave of new hiring.”
It added that new export orders had returned to expansion, stating this showed “the world is once again demanding American-made goods.”
The administration also highlighted commentary from Bloomberg’s Lisa Abramowicz, who wrote on X that “US manufacturing is booming, expanding at the fastest pace since 2022 and beating expectations in many metrics for the month of July.”
Abramowicz also cited Inflation Insights President Omar Sharif, saying the ISM production index “rose by the most for any July since 1951.”
According to the White House, data from the U.S. Federal Reserve also pointed to broad-based gains across the manufacturing sector, including increases in manufacturing activity, payrolls and wages nationwide.
The administration said manufacturing wages increased 4.2 per cent year-on-year, exceeding inflation, while a survey by the Federal Reserve Bank of Philadelphia indicated that general manufacturing activity and new orders had reached nearly five-year highs.
The White House attributed the reported improvements to President Trump’s Working Families Tax Cuts, saying the policy had “powered the revival” by supporting six million American jobs, protecting US$540 billion in worker wages and preserving US$1.1 trillion in U.S. economic activity.
The administration also pointed to a range of broader economic indicators it said reflected strengthening industrial investment. These included a projected annualised U.S. economic growth rate of 6.2 per cent for the third quarter of 2026, an 11.7 per cent increase in non-residential fixed investment in the previous quarter, and business equipment orders that it said were on track to reach an all-time high this year.
According to the release, capital goods imports now account for more than 40 per cent of all U.S. goods imports, which the administration described as a historic peak as manufacturers expand and modernise production capacity.
The White House further said 83,000 factory construction jobs had been added since President Trump took office, while more than 18,000 manufacturing jobs had been created during 2026, which it said had reversed previous declines in factory employment.
Summarising its assessment of the latest data, the administration said: “Factories are humming. Workers are earning more. Investment is pouring in. Exports are rising. This is the manufacturing renaissance President Trump promised — and delivered.”
