US economy, manufacturing expected to expand in 2022: ISM

Capacity utilisation in the US manufacturing sector at present is 87.2 per cent.

Services is expected to expand this year as well, with revenue rising by 4.9 per cent and capital expenditure by 6.2 per cent. Capacity utilisation in the services sector is 91 per cent now.

Expectations for the remainder for 2022 are similar to those expressed in December 2021, despite continued inflation and geopolitical unrest, ISM said in a press release.

These projections are part of the forecast issued by Tempe, Arizona-based ISM’s business survey committees.

"With 16 manufacturing sector industries expecting revenue growth in 2022, and 13 industries expecting employment growth in 2022 panelists forecast that recovery will continue the rest of the year. Sentiment in each sector was generally consistent with industry performance reports in the April 2022 Manufacturing ISM Report On Business, as well as the fall Semiannual Economic Forecast conducted in December," says committee chairman Timothy R Fiore.

Sixteen of the 18 industries report projected revenue increases for the rest of 2022. Those include apparel, leather and allied products, furniture and related products; chemical products, plastic and rubber products and paper products.

ALCHEMPro News Desk (DS)