The National Association of Manufacturers pointed to a recent Federal Reserve report that overall industrial production rose 0.5 percent in June 2007, led by a 0.6 percent rise in manufacturing output, as an indication that industry is making a recovery.
“With production expanding for a fourth consecutive month with its strongest gains of the quarter, manufacturing is on the mend,” said David Huether, the NAM's chief economist.
Manufacturing production grew by 3.4 percent in the second quarter, the fastest pace since the 4.4 percent growth in the third quarter of 2006. Of the 19 major manufacturing industries, 14 increased production in the second quarter of this year.
“Manufacturers of wood products, nonmetallic minerals, and furniture all experienced growth in the second quarter for the first time in more than a year,” he said.
Motor vehicle output also surged 13 percent in the second quarter, thanks to a rebound in consumer demand and solid export growth.