Facts About Manufacturing

1. Manufacturers contributed over $2.95 trillion at the annual rate to the U.S. economy in Q3 2025.

Manufacturing value-added output increased from $2.860 trillion at an annual rate in Q2 2025 to $2.951 trillion in Q3 2025. Value-added output rose in Q3 for durable goods (up from $1.534 trillion to $1.576 trillion) and nondurable goods (up from $1.325 trillion to $1.375 trillion). Manufacturing accounted for 9.5% of value-added output in the U.S. economy in Q3. At the same time, real value-added output in the manufacturing sector rose in Q3 (up from $2.405 trillion to $2.435 trillion), as expressed in chained 2017 dollars. In Q3, real value-added output increased for durable goods (up from $1.286 trillion to $1.318 trillion) but decreased for nondurable goods (down from $1.118 trillion to $1.116 trillion). (Last Updated: 2/2/25; Source: Bureau of Economic Analysis)

2. For every $1.00 spent in manufacturing, there is a total impact of $2.69 to the overall economy.

Including indirect and induced impacts, for every $1.00 spent in manufacturing, there is a total impact of $2.69 to the overall U.S. economy. This figure represents one of the largest sectoral multipliers in the economy. In addition, for every one worker in manufacturing, 5 workers are added in the overall U.S. economy, including indirect and induced impacts, and for every $1.00 earned in direct labor income in the manufacturing sector, $4.33 in labor income earned is added to the overall U.S. economy. (Source: NAM calculations using 2024 IMPLAN data)

3. The majority of manufacturing firms in the United States are quite small.

The majority of manufacturing firms in the United States are quite small. In 2022, there were 239,265 firms in the manufacturing sector, with all but 4,177 firms considered to be small (i.e., having fewer than 500 employees). In fact, around three-quarters of these firms have fewer than 20 employees, and 93.1% have fewer than 100 employees. With that said, the bulk of employment comes from larger firms, with 59.1% of all employees in the sector working for firms with 500 or more employees. (Last Updated: 5/6/25; Source: U.S. Census Bureau, Statistics of U.S. Businesses)

4. There were nearly 12.6 million manufacturing workers in February 2026.

Manufacturing employment decreased in February, losing 12,000 employees from January. Employment in the sector has been in decline over the past few years and is below pre-pandemic levels, with 12,573,000 manufacturing employees in February. The sector averaged 12,613,000 employees pre-pandemic (2017–2019).

At the same time, nonfarm payroll employment fell by 92,000 in February. The unemployment rate ticked up from 4.3% in January to 4.4% in February, with the number of unemployed Americans rising from 7,368,000 in January to 7,571,000 in February. Meanwhile, the labor force participation rate edged down from 62.1% in January to 62.0% in February. (Last Updated: 3/24/26; Source: Bureau of Labor Statistics)

5. Manufacturing employees earned $106,691 on average in 2024, including pay and benefits.

In 2024, manufacturing workers in the United States earned $106,691 on average, including pay and benefits. Workers in all private nonfarm industries earned $90,601 on average. Looking specifically at wages, the average hourly earnings of production and nonsupervisory workers in manufacturing increased to $29.51 in December, with 4.2% growth over the past 12 months. For all manufacturing employees, average hourly earnings were $36.07, up 4.4% year-over-year. (Last Updated: 1/15/25; Sources: Bureau of Economic Analysis and Bureau of Labor Statistics)

6. In 2025, 95% of manufacturing employees were eligible for health insurance benefits.

Manufacturers have the highest percentage of workers who are eligible for health benefits provided by their employer. Indeed, 95% of manufacturing employees were eligible for health insurance benefits in 2025, according to the Kaiser Family Foundation. This is significantly higher than the 80% average for all firms. Of those who are eligible, 80% participate in their employer’s health plan (i.e., the take-up rate). Transportation, communications and utilities (86%) as well as finance (81%) had higher take-up rates in 2025. Meanwhile, the average annual cost of a family health care plan for a family of four in manufacturing was $25,428, below the average of $26,993 for all industries in 2025. (Last Updated: 10/22/25; Source: Kaiser Family Foundation, Employer Health Benefits 2025 Annual Survey)

7. There were 495,000 manufacturing job openings in January 2026.

There were 495,000 manufacturing job openings in January, up from 426,000 in December. Durable goods job openings increased by 53,000 in January to 340,000, while nondurable goods job openings rose by 16,000 to 155,000. This number of openings is back above the pre-pandemic (2017–2019) range, wherein the average number of openings in the sector was 432,000, but remains below the average of 756,000 exhibited between 2021 and 2023.

In the larger economy, nonfarm business job openings increased from 6,550,000 in December to 6,946,000 in January. There were 7,368,000 unemployed Americans reported in January. Therefore, for every job opening in the U.S. economy, there is more than one unemployed worker. As such, the labor market has reached a turning point, with more people actively looking for work than job openings. On the other hand, there were 94 unemployed workers for every 100 open jobs one year ago. (Last Updated: 3/24/26; Source: Bureau of Labor Statistics)

8. By 2033, 3.8 million manufacturing jobs will likely be needed.

Over the next decade, 3.8 million manufacturing jobs will likely be needed, and 1.9 million are expected to be unfilled if we do not inspire more people to pursue modern manufacturing careers. Deloitte and the Manufacturing Institute found that of open jobs, 2.8 million will come from retirement and 760,000 from industry growth; an estimated 230,000 jobs will be created from recent legislative and regulatory actions. Meanwhile, attracting and retaining talent is the primary business challenge indicated by more than 44% of respondents in the NAM’s Q1 2026 Manufacturers’ Outlook Survey. (Last Updated: 3/24/26; Source: Deloitte and the Manufacturing Institute)

9. U.S.-manufactured goods exports totaled more than $1.7 trillion in 2025.

After weakening in 2020 due to pandemic-related challenges, trade volumes rebounded in the subsequent four years, with U.S.-manufactured goods exports hitting a new record level. In 2025, manufacturers in the United States exported $1,763.8 billion, with durable goods exports hitting an all-time high, at $1,169.6 billion. Nondurable goods exports fell slightly in 2025, decreasing to $594.14 billion from $599.47 billion in 2024. (Last Updated: 2/25/26; Source: U.S. Census Bureau)

10. Manufactured goods exports have grown substantially over the past two decades.

Manufactured goods exports have more than doubled over the past two decades. U.S.-manufactured goods exports totaled $622.31 billion in 2002, and in 2025, that figure is $1,763.75 billion, or 2.8 times larger. Nondurable goods exports have grown even faster over that time frame, up from $171.26 billion in 2002 to $594.13 billion in 2025, or 3.5 times larger. Meanwhile, durable goods grew from $451.05 billion in 2002 to $1,169.61 billion in 2025, or 2.6 times higher. (Last Updated: 2/19/26; Source: U.S. Census Bureau)

11. There was nearly $15.9 trillion in global trade of manufactured goods in 2024.

World trade in manufactured goods rose in 2024, increasing from $15.6 trillion in 2023 to nearly $15.9 trillion. That figure has risen from $4.7 trillion in 2000 and $9.8 trillion in 2010. The U.S. share of world trade in manufactured goods was 7.8% in 2024. (Last Updated: 3/24/26; Source: World Trade Organization)

12. Manufacturing in the U.S. would be the eighth-largest economy in the world.

Taken alone, manufacturing in the United States would be the eighth-largest economy in the world. With $2.91 trillion in value added from manufacturing in 2024, only seven other nations (including the U.S.) would rank higher in terms of their GDP. Those other nations with higher GDP in 2024 were (in order) the U.S., China, Germany, Japan, India, the United Kingdom and France. After manufacturing in the U.S., the next five economies would be Italy, Canada, Brazil, the Russian Federation and South Korea, in that order. (Last Updated: 5/6/25; Source: Bureau of Economic Analysis and International Monetary Fund)

13. Foreign direct investment in U.S. manufacturing reached more than $2.4 trillion in 2024.

Foreign direct investment in U.S. manufacturing reached a new record level in 2024. Overall, foreign direct investment in manufacturing has jumped from $756.87 billion in 2010 to $2,416.08 billion in 2024. The manufacturing sector comprised 42.33% of the $5.7 trillion in total foreign direct investment in 2024, as expressed on a historical cost basis. These data should continue to grow over the coming years, with the sector increasingly more competitive globally and with more companies reevaluating their supply chain and renewing their investments in the United States. (Last Updated: 11/25/25; Source: Bureau of Economic Analysis)

14. Private manufacturing construction spending slows in January following declines across 2025.

Private manufacturing construction spending decreased from $199.2 billion in December to $195.3 billion in January. Manufacturing construction spending has slowed after soaring dramatically in 2022 and 2023. Down 15.0% year-over-year in January, private manufacturing construction spending has been in decline since February 2025. High construction material prices and economic uncertainty threaten to further inhibit growth in the months ahead. Nevertheless, spending still far exceeds pre-pandemic averages. (Last Updated: 3/17/26; Source: U.S. Census Bureau)

15. U.S. affiliates of foreign multinational firms employed more than 3.0 million manufacturing workers.

U.S. affiliates of foreign multinational enterprises employed more than 3 million manufacturing workers in the United States in 2023, or roughly 24% of total employment in the sector. In 2023, the most recent year with data, manufacturing sectors with the largest employment from foreign multinationals included transportation equipment (656,800), including 563,400 in motor vehicles and parts; chemicals (430,600); food (360,800); machinery (259,700); and pharmaceuticals and medicines (231,700). Total compensation in the manufacturing sectors from these affiliates was $309,360 billion, and those entities spent $61.3 billion on research and development. (Last Updated: 12/5/25; Source: Bureau of Economic Analysis, Activities of U.S. Affiliates of Foreign Multinational Enterprises, 2023)

16. Manufacturers perform 51.8% of all private-sector R&D.

Manufacturers in the United States perform 51.8% of all private-sector R&D in the nation, driving more innovation than any other sector. R&D in the manufacturing sector has risen from $132.5 billion in 2000 to a record $412.8 billion in 2024. In the most recent data, pharmaceuticals accounted for 36.4% of all manufacturing R&D, spending $150.3 billion in 2024. Semiconductor and other electronic components (14.1%), other computer and electronic manufacturing (13.7%) and motor vehicles and parts (8.4%) also contributed significantly to R&D spending in 2024. (Last Updated: 12/3/24; Source: Bureau of Economic Analysis)

17. Manufacturers consume one-third of the nation’s energy.

Industrial users consumed 31.19 quadrillion Btu of energy in 2024, or 33.3% of the total. Moreover, the U.S. Energy Information Administration estimates that industrial users will consume 31.36 quadrillion Btu of energy in 2030, or 0.56% more than in 2024. (Last Updated: 1/15/25; Source: U.S. Energy Information Administration, Annual Energy Outlook, 2025)

18. The cost of federal regulations falls disproportionately on manufacturers.

The cost of federal regulations falls disproportionately on manufacturers, particularly those that are smaller. Manufacturers pay $29,100 per employee on average to comply with federal regulations, or nearly double the $12,800 per employee costs borne by all firms as a whole. The burden is even greater for small manufacturers in the U.S., or those with fewer than 50 employees, which incur the highest regulatory costs of all U.S. firms: an estimated $50,100 per employee per year. Overall, the total cost of complying with federal regulations in 2022 was $3.079 trillion (in 2023 dollars). (Source: The Cost of Federal Regulation to the U.S. Economy, Manufacturing and Small Business, October 2023).