The output of motor vehicles and parts increased 7.1 percent last month after falling nearly 10 percent in October amid the automotive workers’ strike, according to the Federal Reserve.
The strike, which lasted from Sept. 15 to Oct. 30, covered the contracts of approximately 145,000 United Auto Workers members who together produce half of the vehicles manufactured annually in the United States.
Industrial production increased 0.2 percent but remains 0.4 percent under its year-earlier mark. The index for durable manufacturing increased 1.2 percent in November, and the index for nondurable manufacturing fell 0.5 percent. Within durable manufacturing, increases of at least 1 percent were reported in the indexes for computer and electronic products as well as aerospace and miscellaneous transportation equipment. Approximately 1 percent drops were seen in the indexes for wood products and for miscellaneous.
Within nondurable manufacturing, a 0.2 percent increase was reported in printing and support. The largest drops included a 1.9 percent fall in the index for textile and product mills and a 3.4 percent decline in apparel and leather manufacturing. Manufacturing output increased 0.3 percent in November, which was 2.3 percent higher than its year-ago mark. The index for utilities fell 0.4 percent in November and was 1 percent under its year-earlier level. The index for manufacturing excluding motor vehicles and parts fell 0.2 percent, while the output of utilities dropped 0.4 percent. The output of mines increased 0.3 percent.
The output of business equipment increased 0.9 percent, which was driven by a rise in the index for transit equipment. Defense and space equipment increased 1.2 percent, while the indexes for business supplies and construction supplies were mainly unchanged. A 0.3 percent increase in materials output was buoyed by a large rise in the index for consumer parts. The index for consumer parts increased 2.7 percent.
“The output of major market groups was mixed in November, with the rebound in motor vehicles contributing to most areas of strength,” according to the Federal Reserve. “A 7.5 percent increase in the index for automotive products contributed to a gain of 3.5 percent in consumer durables, while the production of consumer nondurable goods decreased 0.8 percent.”
Capacity utilization for manufacturing increased 0.2 percentage points to 77.2 percent in November, which is 1 percentage point under its 50-year average. The operating rate for mining increased 0.3 percentage point to 93.7 percent, which is 7.3 percentage points under its long-term average. The operating rate for utilities fell 0.5 percentage point to 70.8 percent, which is significantly lower than its average.