US leather goods trade bucks manufacturing slowdown in June
The US leather goods trade was one of only five to brighten the gloom pervading the latest National Association of Purchasing Manager’s (NAPM) report, which showed economic activity in the manufacturing sector declined for the 11th consecutive month during June.
Of the 20 industries reporting, only five including leather goods reported growth. The other four were Rubber & Plastic Products; Miscellaneous (a preponderance of jewellery, toys, sporting goods and musical instruments); Electronic Components & Equipment and Food. The leather trade also topped the Association’s ‘New Orders’ index, which measures the rate of increase in manufacturing orders
NAPM's Production Index rose to 46.2 percent in June up from 42.7 percent in May, where an index of above 50 indicates growth and an index below indicates contraction. June was the seventh consecutive month that the index has fallen below 50 percent.
Said Norbert J. Ore, C.P.M., chair of the National Association of Purchasing Management's Manufacturing Business Survey Committee: "The manufacturing sector continued to decline in June. While the sector continues to struggle, the rate of decline slowed somewhat during the month. It is encouraging that pricing pressures appear to be moderating and inventory liquidation continues to occur at a rapid rate."
