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FEDERAL RESERVE statistical release
G.17 (419)

For release at 9:15 a.m. (EST)
January 17, 2006

INDUSTRIAL PRODUCTION AND CAPACITY UTILIZATION
Industrial production increased 0.6 percent in December after gains of 0.8 percent in November and
1.0 percent in October. For the fourth quarter as a whole, industrial production increased 3.8 percent at an annual rate.
Manufacturing output rose 0.2 percent in December but was held back by a decrease of 2.8 percent in the production of
motor vehicles and parts. The output of utilities climbed 2.7 percent; the output at mines advanced 2.5 percent and was
spurred in part by the continued recovery of energy-related industries that were affected by the recent hurricanes. Over
(over)

INDUSTRIAL PRODUCTION AND CAPACITY UTILIZATION: SUMMARY
Seasonally adjusted

2002=100

Percent change

Industrial production

2005
Sept.r

Oct.r

Nov.r

Dec.p

Total index
Previous estimates

107.2
106.9

108.2
108.2

109.1
109.0

Major market groups
Final Products
Consumer goods
Business equipment
Nonindustrial supplies
Construction
Materials

109.4
106.4
115.1
108.4
109.8
104.5

111.3
106.0
123.5
109.3
112.1
104.8

Major industry groups
Manufacturing (see note below)
Previous estimates
Mining
Utilities

108.9
108.8
90.3
108.1

110.9
110.8
88.3
104.9

Capacity utilization

Average 1994--95
1972--2004
high

2005
Sept.r

Oct.r

109.8

-1.3
-1.6

111.1
105.3
125.1
109.9
112.7
106.7

111.4
105.5
125.7
110.0
111.6
108.0

111.4
111.1
92.5
105.3

111.6

2001--02
low

94.8
108.2

Dec. ’04 to
Dec. ’05

Nov.r

Dec.p

1.0
1.3

.8
.7

.6

2.8

-.6
.7
-4.2
.3
1.5
-2.6

1.7
-.3
7.3
.9
2.2
.3

-.1
-.7
1.3
.6
.5
1.8

.2
.2
.5
.0
-.9
1.2

3.9
1.3
10.1
3.6
5.2
1.4

-.5
-.7
-9.0
-.3

1.8
1.8
-2.2
-3.0

.4
.3
4.7
.4

.2

3.8

2.5
2.7

-5.6
2.9

Percent of capacity
2004
2005
Dec.
Sept.r

Oct.r

Nov.r

Dec.p

Capacity
growth
Dec. ’04 to
Dec. ’05

Total industry
Previous estimates

81.0

85.0

73.9

79.7

79.1
78.9

79.8
79.8

80.3
80.2

80.7

1.7

Manufacturing (see note below)
Previous estimates
Mining
Utilities

79.8

84.5

72.0

78.3

85.6
83.7

89.3
85.6

79.6
79.4
82.6
85.8

2.1

89.0
93.7

79.5
79.4
78.9
85.4

79.6

87.3
86.8

78.2
78.1
80.7
88.0

84.7
88.1

-.5
-.1

Stage-of-process groups
Crude
Primary and semifinished
Finished

86.4
82.2
77.9

89.4
88.1
80.5

83.2
74.6
70.8

88.5
81.7
75.5

78.2
81.9
76.6

78.0
82.0
78.2

81.9
82.3
78.0

84.1
82.4
78.1

-.8
2.6
1.3

r Revised. p Preliminary.
NOTE-- The statistics in this release cover output, capacity, and capacity utilization in the U.S. industrial sector, which is defined by the Federal Reserve to comprise
manufacturing, mining, and electric and gas utilities. Mining is defined as all industries in sector 21 of the North American Industry Classification System (NAICS);
electric and gas utilities are those in NAICS sectors 2211 and 2212. Manufacturing comprises NAICS manufacturing industries (sector 31-- 33) plus the logging industry
and the newspaper, periodical, book, and directory publishing industries. Logging and publishing are classified elsewhere in NAICS (under agriculture and information
respectively), but historically they were considered to be manufacturing and were included in the industrial sector under the Standard Industrial Classification (SIC)
system. In December 2002 the Federal Reserve reclassified all its industrial output data from the SIC system to NAICS.

the twelve months of 2005, total industrial production increased 2.8 percent, to 109.8 percent of its 2002 average, while
total industrial capacity rose 1.7 percent. The rate of capacity utilization in December, at 80.7 percent, stood
1.0 percentage point above its year-earlier level and was 0.3 percentage point below its 1972--2004 average.

Market Groups
The output of consumer goods rose 0.2 percent in December and was up 1.3 percent from its year-earlier
level. In December, the index for consumer nondurables climbed 0.9 percent, and both the energy and the non-energy
components of the index advanced. Among non-energy nondurables, the index for foods and tobacco rose 1.1 percent,
and the production of clothing increased 1.9 percent; these gains more than offset a second consecutive monthly decline
in the index for paper products. The output of consumer durables fell 1.6 percent, and declines occurred in the indexes
for automotive products; appliances, furniture, and carpeting; and miscellaneous goods.
The production of business equipment increased 0.5 percent and was about 10 percent above its year-earlier
level. The gains in this category were largely driven by an increase of 1.7 percent in the index for information processing
equipment. The indexes for transit equipment and for industrial and other equipment were little changed. The production
of defense and space equipment continued to rise, and reached a level 9.7 percent higher than it was a year earlier. The
index for construction supplies, which had surged over the past few months, fell back. The output of business supplies
moved up 0.5 percent to stand 2.9 percent above its year-earlier level.
The production of materials increased 1.2 percent in December. The index for energy materials climbed
sharply in November and December as the energy sector’s recovery from the recent storms continued. In addition,
relatively colder temperatures in December led to an increase in electricity generation. Within the durable materials
component, a drop of 1.1 percent in the output of consumer parts partially offset gains in the production indexes for
equipment parts and for other durable materials. Within the nondurable category, the output of both paper and textile
materials decreased. However, the output of chemical materials continued to recover from the hurricanes and posted an
increase of 2.4 percent.
Industry Groups
Manufacturing production rose 0.2 percent in December, and the factory operating rate remained at
79.6 percent, which is 1.3 percentage points above its year-earlier level and 0.2 percentage point below its 1972--2004
average. The production of durable goods edged down 0.1 percent. The largest decline within this category was in the
output of motor vehicles and parts, which fell 2.8 percent, although the indexes for wood products and nonmetallic
mineral products also decreased more than 2 percent. The largest increase in the production of durable goods was in the
computer and electronic products industry; gains also occurred in the indexes for aerospace and miscellaneous
transportation equipment, primary metal, furniture and related products, and machinery. The production of nondurable
goods rose 0.5 percent and included output gains of 1 percent or more for apparel and leather; food, beverage, and
tobacco; and chemicals. The production of paper and products and of textile and product mills both decreased; the index
for petroleum and coal products also fell back. Production in non-NAICS manufacturing (logging and publishing)
decreased 0.1 percent.
The output of mines rose 2.5 percent in December after having jumped 4.7 percent in November, and the
operating rate in mining moved up 2.1 percentage points, to 84.7 percent. Nevertheless, the production index for this
industry stands 5.6 percent below its year-earlier level. In December, oil and gas extraction once again moved up but
remained more than 6 percent below its level preceding Hurricane Katrina. Utilities output increased 2.7 percent; gains in
both the electric and natural gas components contributed to the rise. The operating rate at utilities climbed to
88.1 percent.
By stage of process, capacity utilization for industries in the crude stage of processing climbed
2.2 percentage points, to 84.1 percent, but the rate was still about 4 percentage points below its average rate in the first
half of the year. Capacity utilization rates for industries in the primary and semifinished stages and for finished goods
producers changed little; both rates now stand just above their respective long-run averages.
2

Note: This release no longer contains tables on electric power use by industry. The December 15, 2005,
release included results from the final survey of industrial electric power use conducted by the Federal Reserve Board.
The rate of response to the voluntary survey had dropped significantly since the early 1990s, and coverage in 2004 was
nearly 40 percent lower than at its peak in 1993. A notice seeking comment on the termination of the electric power
survey was published in the Federal Register on September 29, 2005; by the end of the public comment period,
November 28, 2005, no comments had been received. Although the indexes of electric power use will no longer be
updated, the historical indexes will remain available on the historical data webpage for the G.17.
Tables
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.

Industrial Production: Market and Industry Group Summary; percent change
Industrial Production: Special Aggregates and Selected Detail; percent change
Motor Vehicle Assemblies
Industrial Production: Market and Industry Group Summary; indexes
Industrial Production: Special Aggregates and Selected Detail; indexes
Diffusion Indexes of Industrial Production
Capacity Utilization
Industrial Capacity
Gross Value of Products and Nonindustrial Supplies
Gross-Value-Weighted Industrial Production: Stage-of-Process Groups
Historical Statistics: Total Industry
Historical Statistics: Manufacturing
Historical Statistics: Total Industry Excluding Selected High-Technology Industries
Historical Statistics: Manufacturing Excluding Selected High-Technology Industries

Further detail is available on the Board’s web site (www.federalreserve.gov/releases/G17/).

Revision of Industrial Production and Capacity Utilization
On November 7, 2005, the Federal Reserve Board issued its annual revisions to the index of
industrial production (IP) and to the related measures of capacity and capacity utilization. The base year for
the indexes of industrial production, capacity, and electric power use was advanced to 2002. Production
indexes for twenty industries that had relied on electric power use as a monthly indicator were revised to use
production-worker hours for the period 1997 to present.
The revisions to the IP index were derived principally from information contained in annual
reports issued by the Census Bureau—namely, the 2003 Annual Survey of Manufactures, the revised data
from the 2002 Census of Manufactures, and selected 2004 Current Industrial Reports. Annual data on
minerals (except fuels) for 2003 and 2004 from the U.S. Geological Survey and updated deflators from the
Bureau of Economic Analysis were also introduced. The updating also included revisions to the monthly
indicator for each industry (either physical product data or production-worker hours) and revisions to
seasonal factors.
Capacity and capacity utilization were revised to incorporate data from the Census Bureau’s
2004 Survey of Plant Capacity, which covers manufacturing, and new data on capacity from the U.S.
Geological Survey, the U.S. Department of Energy, and other organizations.
The revision is available on the Board’s website at www.federalreserve.gov/releases/G17. The
revised data are also available on the website of the Department of Commerce. Further information on these
revisions is available from the Board’s Industrial Output Section (telephone 202-452-3197).

3

1. Industrial production, capacity, and utilization
160

Ratio scale, 2002 output = 100
Total
Manufacturing

160

135

135

110

110

Capacity

85

85

Production

Detail: 2001 to present

60

112

60

108
Production

104
100

2001 2002 2003 2004 2005

35

1970

1975

1980

1985

1990

1995

2000

96

2005

Percent of capacity

100

35

100
95

95
Utilization
85

85

75

75

65

1970

1975

1980

1985

1990

1995

2000

2005

65

Notes: The shaded areas are periods of business recession as defined by the National Bureau of Economic Research (NBER).
See note on cover page.

4

2. Industrial production and capacity utilization
Consumer goods

Equipment

Ratio scale, 2002=100

115

115

110

110

105
100

105

Nondurable

95
90

130
125
120
115

Business

100

110

110

95

105

105

100

100

95

95

90

Durable

Ratio scale, 2002=100

130
125
120
115

85

85

80

80

85

75

80

115

115

110

110

110

105

105

100

100

95

95

75

1998

2000

Nonindustrial supplies

2002

2004

110

Construction

105

105

100

100

95

95

90
85
80

1998

2000

Capacity utilization

2002

2004

Primary and

85

processing

Excluding utilities
1998

2000

2002

2004

80

Ratio scale, 2002=100

Energy

115

90
85

85

80

80

80

75

1998

2000

Capacity utilization

2002

2004

75

Percent of capacity

90

90

90

85

85

85
Finished processing

75

70

2002

Non-energy

semifinished
80

2000

85

Percent of capacity

90

1998

90

90

Other business

90
85

Industrial materials

Ratio scale, 2002=100

115

Defense and Space

90

2004

80

80

80

75

75

75

70

70

5

1998

2000

2002

2004

70

3. Industrial production and capacity utilization, high-technology industries
Industrial production

Ratio scale, 2002 = 100

125
115

125
115

Excluding
high-technology
industries

95

95

75

75

Total IP

55

35

1970

1975

1980

55

1985

1990

1995

Industrial production

2000

2005

35

Percent change from year earlier
15

15
Total IP

10

10

5

5

0

0
Excluding the
contribution
of high-technology
industries

-5
-10
-15

1970

1975

Industrial production

1980

1985

Ratio scale, 2002 = 100

300
200

Communications eq.

150
Computers

100

200

95

100
80

60

60

40

40

10

20

Semiconductors

1998

2000

1995

Capacity utilization
300

150

100
80

20

1990

2000

-5
-10

2005

-15

Percent of capacity
100
95

Excluding
high-technology
industries

85

85

75

75

65

65
High-technology industries

2002

2004

2006

55

10

1990

1995

2000

2005

55

Notes: High-technology industries are defined as semiconductors and related electronic components (NAICS 334412-9),
computers (NAICS 3341),and communications equipment (NAICS 3342).
The shaded areas are periods of business recession as defined by the NBER.

6

Table 1

INDUSTRIAL PRODUCTION: MARKET AND INDUSTRY GROUP SUMMARY
Percent change, seasonally adjusted
It
Item

100.00

1.5

4.3

2.7

3.8

57.78
30.24
8.66
4.70
.27
1.41
2.28
21.57
17.39
9.49
.76
4.76
1.89
4.18

1.7
1.3
4.3
6.5
18.5
2.2
-.7
.1
.6
2.1
-9.3
1.0
-3.5
-1.9

4.3
2.0
1.3
.4
-3.7
2.4
3.0
2.3
2.5
1.8
-2.8
3.0
5.9
1.7

4.2
1.8
2.6
1.7
16.6
2.9
2.7
1.4
1.8
2.6
-.7
-.2
2.6
.0

9.97
1.86
2.73
5.37
1.92

2.8
3.6
6.5
.4
5.4

10.8
9.7
14.6
9.2
9.7

4.41
10.78

1.7
.9

42.22
30.19
19.01
3.67
6.67
8.67
11.17
.68
2.41
4.66
12.04

Dec. ’04
to
Dec. ’05

Q4p

1.6

1.4

3.8

-1.3

1.0

.8

.6

2.8

4.3
2.4
1.7
2.0
3.5
2.2
.4
2.7
3.2
1.2
-6.7
4.0
13.9
.8

3.0
1.5
-2.5
-4.2
31.8
-2.2
-2.9
3.1
2.4
3.2
-8.0
2.2
2.7
5.9

3.5
3.7
10.8
16.7
-17.7
10.3
3.0
1.0
-.7
1.2
6.3
-4.4
-5.3
8.3

6.2
-.5
1.0
-6.1
64.6
1.7
11.0
-1.1
2.3
5.0
6.6
-2.4
.2
-13.6

-.3
.7
2.4
3.0
-.1
1.8
1.8
.1
.5
.7
.9
.4
-.4
-1.4

1.5
-.3
.3
-.5
10.5
-.1
1.3
-.6
.3
.4
-.8
-.1
1.3
-4.4

.1
-.7
-3.0
-5.3
4.5
-1.4
.0
.3
-.1
.4
1.6
-1.0
-1.0
1.9

.2
.2
-1.6
-2.7
.9
-.4
-.5
.9
.6
1.1
1.9
.0
-.5
2.1

3.8
1.3
.6
-1.9
24.1
2.1
2.3
1.6
1.9
3.5
1.3
-.6
.3
.3

10.2
13.5
19.8
4.1
9.5

9.5
15.7
17.7
3.2
12.0

6.7
15.7
12.7
.5
11.5

2.4
-28.2
23.0
5.4
5.8

23.3
72.8
26.2
7.5
8.9

-4.2
-25.1
1.5
.6
-2.2

7.3
38.4
2.4
1.3
2.8

1.3
1.9
2.1
.6
.2

.5
.1
1.7
-.1
1.7

10.1
13.5
19.8
4.0
9.7

4.6
3.9

5.9
3.3

.9
4.2

4.1
2.2

4.7
2.7

14.2
4.0

1.5
-.1

2.2
.3

.5
.6

-.9
.5

5.2
2.9

1.2
1.7
3.8
-1.2
11.8
.0
-1.7
-6.5
-6.5
1.6
-.1

4.3
6.0
7.6
2.0
14.1
4.9
3.2
-6.4
4.6
5.3
-.2

.5
3.1
6.7
1.6
15.7
1.9
-3.0
-4.1
-1.7
-7.7
-5.5

3.2
4.1
6.8
2.0
20.2
-1.0
-.5
-6.5
2.3
-5.4
1.0

-.3
-.8
1.2
-3.4
10.4
-4.0
-4.3
-9.8
-6.0
-5.3
1.1

-1.5
1.7
7.0
6.8
13.7
1.9
-7.1
4.1
-4.3
-15.7
-8.6

.7
7.7
12.1
1.4
18.9
11.5
.1
-3.8
1.6
-3.8
-14.8

-2.6
-.7
1.5
1.7
1.1
1.7
-4.5
-.2
-.2
-11.0
-7.2

.3
1.3
1.0
1.0
1.5
.7
1.8
.3
1.4
2.7
-2.1

1.8
1.1
.5
-2.3
1.7
.8
2.1
-1.1
-.6
6.0
3.6

1.2
.6
.6
-1.1
1.6
.5
.7
-.5
-1.3
2.4
2.6

1.4
3.6
7.0
.0
16.4
2.6
-2.1
-4.7
-3.2
-4.8
-3.7

321
327
331
332
333
334

81.95
77.47
43.11
1.59
2.28
2.57
5.75
5.36
7.75

1.7
2.0
4.0
4.0
2.2
1.0
-.7
1.0
15.7

5.1
5.2
7.1
3.0
5.1
3.9
5.2
11.5
16.1

3.9
4.1
7.4
5.7
2.1
-2.2
4.5
5.7
23.0

4.5
4.2
6.8
3.4
-3.6
-9.0
2.0
3.4
27.0

1.3
1.2
2.6
-5.2
.2
-17.2
1.5
1.8
16.2

2.0
2.6
7.0
1.3
1.4
1.8
3.4
3.1
22.3

7.9
8.5
13.5
25.6
11.0
19.3
11.4
15.2
26.7

-.5
-.5
.1
3.0
1.2
3.7
.2
1.7
1.3

1.8
1.9
2.8
3.7
1.8
.3
2.2
2.7
1.8

.4
.5
-.1
1.7
1.0
.7
.5
.4
2.6

.2
.2
-.1
-2.3
-2.2
1.1
-.4
.5
2.4

3.8
4.1
6.8
4.8
.2
-.5
4.5
6.3
24.1

335
3361-- 3

2.10
7.30

-.7
4.7

5.2
2.6

6.9
1.5

1.6
3.5

1.9
-4.4

12.4
13.5

12.3
-5.4

1.5
2.8

2.4
-.2

-1.2
-4.9

.0
-2.8

6.4
-2.4

3364-- 9
337
339

3.48
1.72
3.22

-.4
.3
.6

5.3
2.2
3.9

11.4
-1.6
4.1

10.7
.1
6.5

16.2
-7.7
1.7

-15.3
2.1
7.0

41.4
-.5
1.2

-15.7
1.5
.2

20.5
-1.3
.9

1.6
-.4
-1.2

1.3
.8
-1.6

12.0
-1.7
2.1

311,2
313,4
315,6
322
323
324
325
326

34.36
11.02
1.17
.81
2.82
2.11
2.25
10.54
3.64

-.4
1.7
-4.2
-9.4
-6.0
-3.0
.3
.7
-.2

2.8
1.7
-3.9
-2.2
4.5
1.5
6.2
4.2
3.2

-.1
3.2
1.2
.0
-1.6
1.8
-6.8
-3.4
4.0

.9
2.6
.3
-7.1
2.7
1.7
.4
-.9
1.7

-.4
3.1
-7.6
-7.1
-8.4
-1.8
2.2
-.4
-1.8

-2.8
1.7
9.3
7.7
-4.7
4.1
-14.2
-9.9
5.4

2.1
5.5
3.5
7.7
4.8
3.3
-14.2
-2.0
11.2

-1.4
.7
.7
.9
.3
.7
-5.5
-5.1
2.3

.6
.5
.7
-.7
2.4
.4
-3.0
1.6
-.2

1.3
.5
.1
1.7
-1.2
.5
5.8
2.1
1.4

.5
1.2
-.9
1.9
-1.3
-.6
-.9
1.0
.4

.6
4.1
2.1
2.1
-2.7
1.0
-6.6
-2.2
4.7

1133,5111

4.48

-3.0

3.7

.8

10.0

1.8

-6.9

-.8

-.6

1.1

-1.3

-.1

-1.1

21
2211,2
2211
2212

8.53
9.52
7.92
1.61

.5
.7
1.9
-5.5

-.4
1.2
2.0
-2.9

-7.6
2.4
3.6
-3.4

4.2
-1.9
-3.0
3.5

-.1
6.4
5.9
9.3

-14.9
13.8
17.8
-3.7

-17.6
-7.5
-4.7
-20.2

-9.0
-.3
.4
-3.9

-2.2
-3.0
-2.5
-5.4

4.7
.4
.1
2.0

2.5
2.7
2.4
4.3

-5.6
2.9
4.1
-2.7

Business equipment
Transit
Information processing
Industrial and other
Defense and space equipment
Construction supplies
Business supplies
Materials
Non-energy
Durable
Consumer parts
Equipment parts
Other
Nondurable
Textile
Paper
Chemical
Energy

INDUSTRY GROUPS

Other manufacturing (non-NAICS)

2005

Monthly rate

Q3r

MARKET GROUPS

Mining
Utilities
Electric
Natural gas

2004

Annual rate

2005
Sept.r

Final products and nonindustrial supplies
Consumer goods
Durable
Automotive products
Home electronics
Appliances, furniture, carpeting
Miscellaneous goods
Nondurable
Non-energy
Foods and tobacco
Clothing
Chemical products
Paper products
Energy

Nondurable manufacturing
Food, beverage, and tobacco products
Textile and product mills
Apparel and leather
Paper
Printing and support
Petroleum and coal products
Chemical
Plastics and rubber products

2003

2005
Q1

2004
proportion1

Total IP

Manufacturing
Manufacturing (NAICS)
Durable manufacturing
Wood products
Nonmetallic mineral products
Primary metal
Fabricated metal products
Machinery
Computer and electronic products
Electrical equip., appliances,
and components
Motor vehicles and parts
Aerospace and miscellaneous
transportation equipment
Furniture and related products
Miscellaneous

Fourth quarter to
fourth quarter

Q2

Oct.r

Nov.r

Dec.p

r Revised. p Preliminary.
NOTE. Under industry groups, the figures to the right of the series descriptions are 2002 North American Industry Classification System (NAICS) codes. The abbreviation
pt denotes part of a NAICS code. Additional industry detail is available on the Board’s web site (www.federalreserve.gov/releases/G17). Under market groups, in the
products category, miscellaneous consumer nondurables, oil and gas drilling, and manufactured homes are not shown separately; in the nondurable materials category,
containers and miscellaneous nondurable materials are not shown separately.
1. The proportion data are estimates of the relative contribution of each series to the growth of total industrial production in the following year.

7

Table 2

INDUSTRIAL PRODUCTION: SPECIAL AGGREGATES AND SELECTED DETAIL
Percent change, seasonally adjusted
It
Item

Fourth quarter to
fourth quarter
2003

2004

2005

2005
Q1

100.00

1.5

4.3

2.7

3.8

Energy
Consumer products
Commercial products
Oil and gas well drilling
Converted fuel
Primary materials

19.02
4.18
2.44
.35
3.75
8.29

.5
-1.9
5.1
21.2
.6
-.4

.7
1.7
2.4
8.3
1.6
-1.0

-3.2
.0
.7
11.8
.0
-7.9

Non-energy

80.98

1.7

5.1

3341
3342

4.93
.91
1.15

21.1
5.8
9.9

334412-- 9

2.87

Annual rate

Monthly rate

Dec. ’04
to
Dec. ’05

Q3r

Q4p

2005
Sept.r

1.6

1.4

3.8

-1.3

1.0

.8

.6

2.8

.9
.8
-1.8
19.1
-.1
1.5

2.9
5.9
6.9
1.8
6.1
-1.0

-2.8
8.3
5.2
19.9
1.5
-12.6

-13.0
-13.6
-6.9
7.5
-7.0
-18.0

-5.0
-1.4
-.7
-.2
-4.0
-8.5

-2.6
-4.4
-3.1
2.3
-.7
-2.7

2.8
1.9
1.3
-.9
1.9
4.4

2.3
2.1
2.1
-1.0
1.6
3.1

-2.1
.3
.6
8.7
.3
-5.4

4.1

4.5

1.3

2.5

8.4

-.4

1.9

.3

.2

4.0

18.4
4.6
22.3

24.9
11.3
25.6

32.8
10.9
24.4

16.4
14.0
12.1

27.0
8.8
33.3

24.0
11.7
33.9

1.6
.9
2.7

.9
.8
3.4

2.3
1.0
1.7

2.7
1.1
1.8

26.1
11.7
25.2

34.1

21.4

28.7

43.8

18.9

30.0

23.5

1.4

-.1

2.9

3.5

30.8

76.06

.5

4.2

2.8

2.8

.3

1.0

7.4

-.5

2.0

.2

.0

2.6

7.30
3.65
3.20

4.7
10.4
-1.5

2.6
1.6
2.2

1.5
-.3
2.6

3.5
.8
4.7

-4.4
-6.4
-.9

13.5
21.1
7.8

-5.4
-13.4
-.9

2.8
3.6
1.3

-.2
-1.0
.5

-4.9
-8.1
-2.1

-2.8
-4.1
-1.6

-2.4
-5.5
-.1

Excluding motor vehicles and parts
Consumer goods
Business equipment
Construction supplies
Business supplies
Materials

68.76
21.66
7.81
4.38
7.94
24.99

.0
.7
.5
1.7
-1.6
-.8

4.4
2.3
9.0
4.6
3.3
4.7

2.9
1.9
9.3
5.7
2.8
.7

2.7
2.9
7.3
.8
4.2
.2

.8
1.5
7.4
3.9
-.2
-2.8

-.3
.0
-1.8
4.6
.4
-1.6

8.8
3.4
26.0
14.0
6.7
7.1

-.9
.6
-6.0
1.5
-.1
-1.2

2.2
.5
9.0
2.1
1.5
1.5

.7
-.2
1.9
.5
.3
1.3

.3
.4
.5
-.9
-.2
.6

3.2
2.0
9.7
5.1
2.3
1.4

Measures excluding selected high-technology
industries
Total industry
Manufacturing1
Durable

95.07
77.02
38.39

.5
.4
1.7

3.6
4.2
5.6

1.5
2.6
5.1

2.4
2.8
3.5

.8
.3
.7

.1
.5
4.5

2.8
6.9
12.1

-1.5
-.7
-.1

1.0
1.9
3.0

.7
.3
-.4

.5
.0
-.4

1.7
2.4
4.4

Measures excluding motor vehicles and parts
Total industry
Manufacturing1
Durable

92.70
74.65
36.02

1.3
1.4
3.8

4.5
5.4
8.0

2.8
4.1
8.5

3.9
4.6
7.4

2.1
1.8
3.9

.5
1.0
5.7

4.6
9.3
17.5

-1.6
-.9
-.4

1.1
2.0
3.4

1.2
.9
.9

.9
.4
.4

3.2
4.4
8.6

Measures excluding selected high-technology
industries and motor vehicles and parts
Total industry
Manufacturing1

87.78
69.73

.1
.0

3.6
4.4

1.5
2.7

2.3
2.7

1.3
.8

-.9
-.7

3.5
8.3

-1.8
-1.1

1.1
2.1

1.2
.8

.8
.3

2.0
2.9

Stage-of-process components of non-energy
materials, measures of the input to
Finished processors
Primary and semifinished processors

13.44
16.75

3.6
.2

7.9
4.3

7.8
-.6

10.6
-.9

2.7
-3.7

8.1
-3.3

9.9
5.9

.9
-2.0

1.3
1.3

.1
1.9

.3
.9

7.4
.6

2004
proportion

Total industry

Selected high-technology industries
Computer and peripheral equipment
Communications equipment
Semiconductors and related
electronic components
Excluding selected high-technology
industries
Motor vehicles and parts
Motor vehicles
Motor vehicle parts

3361-- 3
3361
3363

Q2

Oct.r

Nov.r

Dec.p

r Revised. p Preliminary.
1. See note on cover page.

Table 3

MOTOR VEHICLE ASSEMBLIES
Millions of units, seasonally adjusted annual rate
2005
average

2005
Q1

Q2

Q3

Q4

2005
Sept.

Oct.

Nov.

Dec.

Total
Autos
Trucks
Light
Medium and heavy

11.95
4.32
7.63
7.20
.42

12.12
4.39
7.74
7.29
.44

11.75
4.22
7.53
7.10
.42

12.15
4.31
7.85
7.43
.41

11.76
4.38
7.38
6.96
.42

12.47
4.36
8.11
7.71
.40

12.42
4.40
8.02
7.58
.44

11.65
4.44
7.21
6.81
.40

11.20
4.30
6.91
6.48
.43

MEMO
Autos and light trucks

11.52

11.68

11.33

11.74

11.33

12.07

11.98

11.25

10.78

It
Item

NOTE. Seasonal factors and underlying data for auto, light truck, and medium and heavy truck production are available on the Board’s web site,
www.federalreserve.gov/releases/G17/mvsf.htm

8

Table 4

INDUSTRIAL PRODUCTION INDEXES: MARKET AND INDUSTRY GROUP SUMMARY
2002 = 100, seasonally adjusted
2004
proportion

It
Item

Total IP

Aug.

Sept.r

Oct.r

Nov.r

Dec.p

108.3

108.3

108.6

107.2

108.2

109.1

109.8

57.78
30.24
8.66
4.70
.27
1.41
2.28
21.57
17.39
9.49
.76
4.76
1.89
4.18

107.7
104.1
106.0
107.8
115.2
102.9
103.0
103.3
103.3
103.2
85.4
105.2
105.6
103.1

108.1
104.6
107.1
109.3
124.7
104.0
102.5
103.5
103.9
104.2
83.3
105.4
106.2
102.0

109.0
105.8
108.5
111.7
120.4
105.6
102.5
104.7
104.0
104.7
82.9
105.2
105.6
107.2

109.1
105.2
107.1
109.5
116.1
105.2
102.3
104.4
103.8
104.7
84.7
104.2
104.7
107.1

109.5
105.6
110.1
114.4
113.6
106.5
103.1
103.9
103.2
103.8
85.0
103.8
104.4
106.5

109.1
106.4
112.7
117.8
113.5
108.5
104.9
103.9
103.7
104.5
85.7
104.2
103.9
105.0

110.8
106.0
113.1
117.3
125.4
108.4
106.3
103.3
104.1
105.0
85.1
104.1
105.3
100.4

110.8
105.3
109.7
111.1
131.1
106.8
106.3
103.6
103.9
105.4
86.4
103.1
104.2
102.3

111.0
105.5
107.9
108.0
132.2
106.4
105.8
104.5
104.5
106.6
88.1
103.1
103.7
104.4

9.97
1.86
2.73
5.37
1.92

116.8
116.4
127.4
111.3
124.5

117.9
118.7
129.2
111.7
124.1

118.4
119.3
131.0
111.6
124.9

120.0
118.5
133.9
113.4
126.8

120.1
118.7
136.1
112.5
127.4

115.1
88.9
138.1
113.1
124.6

123.5
123.0
141.4
114.6
128.1

125.1
125.4
144.4
115.3
128.4

125.7
125.5
146.8
115.3
130.6

4.41
10.78

107.3
106.7

107.5
106.7

106.9
107.6

107.5
107.4

108.2
107.9

109.8
107.8

112.1
108.1

112.7
108.8

111.6
109.3

42.22
30.19
19.01
3.67
6.67
8.67
11.17
.68
2.41
4.66
12.04

106.5
109.2
114.9
99.1
139.7
104.5
100.1
83.5
97.5
103.7
99.2

106.5
109.3
115.2
99.5
141.0
104.1
99.8
83.6
96.4
102.6
99.2

107.3
109.5
115.5
102.4
141.7
103.0
99.7
84.4
97.2
102.9
101.3

107.2
109.8
115.9
101.1
143.4
103.2
100.0
85.3
96.1
103.3
100.3

107.4
110.2
117.0
101.6
145.7
104.0
99.3
84.5
96.0
102.1
100.0

104.5
109.4
118.8
103.3
147.2
105.8
94.8
84.3
95.7
90.8
92.8

104.8
110.8
120.0
104.3
149.4
106.5
96.5
84.6
97.1
93.3
90.8

106.7
112.0
120.6
101.9
151.9
107.3
98.6
83.7
96.6
98.9
94.1

108.0
112.7
121.3
100.8
154.3
107.9
99.2
83.3
95.3
101.2
96.6

321
327
331
332
333
334

81.95
77.47
43.11
1.59
2.28
2.57
5.75
5.36
7.75

108.3
108.6
114.3
104.8
105.7
99.5
105.5
114.3
149.5

108.7
109.0
115.0
105.9
105.9
98.9
105.7
114.5
152.2

109.0
109.4
115.5
104.4
106.4
95.5
105.6
115.0
153.6

109.1
109.6
115.9
104.9
105.9
95.3
106.1
116.3
156.5

109.5
110.1
117.3
104.0
105.9
98.2
106.6
114.1
160.1

108.9
109.5
117.5
107.2
107.2
101.8
106.8
116.1
162.1

110.9
111.5
120.8
111.2
109.2
102.1
109.1
119.2
165.1

111.4
112.1
120.7
113.0
110.3
102.7
109.7
119.6
169.4

111.6
112.3
120.6
110.5
107.9
103.8
109.3
120.2
173.4

335
3361-- 3

2.10
7.30

103.5
107.9

104.4
108.8

105.1
111.4

106.3
109.2

107.2
113.1

108.8
116.3

111.5
116.1

110.2
110.5

110.2
107.4

3364-- 9
337
339

3.48
1.72
3.22

109.5
100.0
108.9

110.4
100.3
109.0

110.2
99.9
109.7

110.9
99.8
109.7

111.7
100.2
111.6

94.2
101.7
111.9

113.5
100.4
112.9

115.3
100.0
111.6

116.7
100.9
109.8

311,2
313,4
315,6
322
323
324
325
326

34.36
11.02
1.17
.81
2.82
2.11
2.25
10.54
3.64

101.9
103.2
89.6
85.8
98.2
96.5
106.9
104.1
103.8

101.9
104.3
89.8
83.9
96.8
97.0
105.5
103.9
103.1

102.1
104.5
90.8
83.6
97.8
96.5
107.9
103.9
102.9

102.1
104.8
91.9
85.5
96.6
97.9
105.6
103.7
103.2

101.5
103.9
91.9
85.9
96.2
97.2
104.2
102.7
104.1

100.1
104.6
92.6
86.7
96.5
97.9
98.5
97.5
106.5

100.7
105.1
93.2
86.1
98.8
98.3
95.5
99.1
106.2

102.0
105.6
93.2
87.6
97.6
98.8
101.0
101.1
107.8

102.6
106.8
92.4
89.3
96.3
98.2
100.1
102.2
108.2

1133,5111

4.48

102.5

103.2

102.0

101.0

100.9

100.4

101.5

100.2

100.0

21
2211,2
2211
2212

8.53
9.52
7.92
1.61

100.5
103.1
104.1
98.3

99.8
102.9
103.2
101.1

100.8
108.3
109.7
101.2

99.8
108.1
109.6
100.9

99.2
108.4
110.1
100.4

90.3
108.1
110.5
96.5

88.3
104.9
107.8
91.3

92.5
105.3
107.9
93.1

94.8
108.2
110.5
97.1

Construction supplies
Business supplies
Materials
Non-energy
Durable
Consumer parts
Equipment parts
Other
Nondurable
Textile
Paper
Chemical
Energy

INDUSTRY GROUPS

Mining
Utilities
Electric
Natural gas

July

107.4

Business equipment
Transit
Information processing
Industrial and other
Defense and space equipment

Other manufacturing (non-NAICS)

June

107.2

MARKET GROUPS

Nondurable manufacturing
Food, beverage, and tobacco products
Textile and product mills
Apparel and leather
Paper
Printing and support
Petroleum and coal products
Chemical
Plastics and rubber products

May

100.00

Final products and nonindustrial supplies
Consumer goods
Durable
Automotive products
Home electronics
Appliances, furniture, carpeting
Miscellaneous goods
Nondurable
Non-energy
Foods and tobacco
Clothing
Chemical products
Paper products
Energy

Manufacturing
Manufacturing (NAICS)
Durable manufacturing
Wood products
Nonmetallic mineral products
Primary metal
Fabricated metal products
Machinery
Computer and electronic products
Electrical equip., appliances,
and components
Motor vehicles and parts
Aerospace and miscellaneous
transportation equipment
Furniture and related products
Miscellaneous

2005
Apr.

r Revised. p Preliminary.
NOTE. See notes to table 1.

9

Table 5

INDUSTRIAL PRODUCTION INDEXES: SPECIAL AGGREGATES
2002 = 100, seasonally adjusted
2004
proportion

It
Item

Total industry

2005
Apr.

May

June

July

Aug.

Sept.r

Oct.r

Nov.r

Dec.p

100.00

107.2

107.4

108.3

108.3

108.6

107.2

108.2

109.1

109.8

Energy
Consumer products
Commercial products
Oil and gas well drilling
Converted fuel
Primary materials

19.02
4.18
2.44
.35
3.75
8.29

102.0
103.1
109.1
140.1
101.9
97.9

101.5
102.0
108.4
135.7
102.1
97.8

104.8
107.2
113.7
140.6
107.2
98.7

103.9
107.1
111.5
143.6
105.9
97.8

103.7
106.5
112.4
146.2
105.3
97.5

98.6
105.0
111.6
146.0
101.1
89.2

96.0
100.4
108.1
149.3
100.4
86.8

98.7
102.3
109.6
147.9
102.3
90.6

101.0
104.4
111.8
146.4
103.9
93.4

Non-energy

80.98

108.4

108.8

109.0

109.2

109.7

109.2

111.3

111.6

111.9

3341
3342

4.93
.91
1.15

163.1
117.0
134.9

166.2
118.5
138.3

167.9
120.1
139.7

171.6
120.0
145.3

176.7
121.0
147.2

179.6
122.1
151.2

181.3
123.1
156.3

185.4
124.4
159.1

190.4
125.8
161.9

334412-- 9

2.87

200.0

203.8

205.7

209.9

218.9

221.9

221.8

228.1

236.1

76.06

105.2

105.5

105.7

105.7

106.0

105.4

107.5

107.7

107.7

7.30
3.65
3.20

107.9
111.1
102.1

108.8
113.3
101.9

111.4
117.1
103.6

109.2
113.2
103.3

113.1
120.3
104.4

116.3
124.7
105.8

116.1
123.5
106.3

110.5
113.4
104.1

107.4
108.7
102.4

Excluding motor vehicles and parts
Consumer goods
Business equipment
Construction supplies
Business supplies
Materials

68.76
21.66
7.81
4.38
7.94
24.99

104.9
103.2
112.7
107.1
102.8
103.1

105.2
103.8
113.6
107.3
102.9
103.0

105.1
103.8
113.8
106.7
102.5
102.8

105.4
103.6
115.5
107.3
102.7
103.0

105.3
103.3
115.1
107.9
102.9
102.9

104.3
103.9
108.1
109.5
102.9
101.7

106.6
104.4
117.9
111.9
104.4
103.3

107.4
104.3
120.2
112.4
104.7
104.6

107.7
104.7
120.8
111.3
104.5
105.2

Measures excluding selected high-technology
industries
Total industry
Manufacturing1
Durable

95.07
77.02
38.39

104.6
105.1
108.5

104.7
105.4
109.0

105.5
105.7
109.4

105.4
105.6
109.5

105.5
105.9
110.6

104.0
105.2
110.5

105.0
107.1
113.8

105.8
107.4
113.4

106.3
107.4
112.9

Measures excluding motor vehicles and parts
Total industry
Manufacturing1
Durable

92.70
74.65
36.02

107.1
108.3
115.5

107.3
108.7
116.2

108.0
108.8
116.3

108.2
109.1
117.2

108.2
109.2
118.1

106.5
108.2
117.6

107.6
110.4
121.6

109.0
111.5
122.6

109.9
112.0
123.2

Measures excluding selected high-technology
industries and motor vehicles and parts
Total industry
Manufacturing1

87.78
69.73

104.3
104.8

104.4
105.1

105.0
105.1

105.1
105.3

104.9
105.1

103.0
104.0

104.2
106.2

105.4
107.1

106.2
107.4

Stage-of-process components of non-energy
materials, measures of the input to
Finished processors
Primary and semifinished processors

13.44
16.75

116.2
103.6

116.7
103.3

118.1
102.6

118.3
103.0

119.3
103.0

120.4
100.9

122.0
102.2

122.1
104.1

122.5
105.0

Selected high-technology industries
Computer and peripheral equipment
Communications equipment
Semiconductors and related
electronic components
Excluding selected high-technology
industries
Motor vehicles and parts
Motor vehicles
Motor vehicle parts

3361-- 3
3361
3363

r Revised. p Preliminary.
1. See note on cover page.

Table 6

DIFFUSION INDEXES OF INDUSTRIAL PRODUCTION
Percent
Item
It

Jan.

Feb.

Mar.

Apr.

May

June

July

Aug.

Sept.

Oct.

Nov.

Dec.

One month earlier
2003
2004
2005

43.0
61.0
54.7

48.0
62.7
47.3

47.3
53.0
49.7

35.7
66.7
52.7

51.3
58.7
54.0

53.0
46.3
56.7

48.0
66.0
54.3

49.7
56.0
52.0

59.7
47.0
55.3

60.0
61.0
59.3

66.7
53.7
60.8

55.3
58.7

Three months earlier
2003
2004
2005

46.3
66.0
58.3

39.3
61.3
59.0

42.0
65.0
52.0

36.0
68.3
47.3

38.0
66.7
51.8

46.3
62.3
57.0

55.0
57.7
57.0

54.0
56.3
55.0

58.0
56.3
54.3

61.7
57.7
55.7

70.0
56.7
57.0

62.7
64.3

Six months earlier
2003
2004
2005

41.3
68.3
62.0

37.3
73.3
60.0

39.0
68.0
60.7

36.7
77.0
52.3

33.0
72.0
52.7

38.3
65.3
55.0

42.7
67.3
57.0

45.3
67.0
53.3

50.0
62.0
56.3

60.7
61.3
58.7

65.7
58.7
57.0

63.7
64.0

NOTE. The diffusion indexes are calculated as the percentage of series that increased over the indicated span (one, three, or six months) plus one-half
the percentage that were unchanged.

10

Table 7

CAPACITY UTILIZATION
Percent of capacity, seasonally adjusted
19722004
ave.

198889
high

1994-95
high

200102
low

2005
Q1

Q2

Q3r

Q4p

2005
Sept.r

Oct.r

Nov.r

Dec.p

100.00

81.0

85.1

85.0

73.9

79.9

79.9

79.8

80.2

79.1

79.8

80.3

80.7

84.35
80.13

79.8
79.6

85.5
85.5

84.5
84.6

72.0
71.5

78.7
78.3

78.5
78.1

78.5
78.1

79.6
79.3

78.2
77.8

79.5
79.1

79.6
79.4

79.6
79.3

321
327
331
332
333
334

45.97
1.58
2.17
2.40
6.19
5.56
9.13

78.1
80.1
79.4
80.4
77.1
78.7
78.6

84.6
88.5
85.2
94.9
81.7
85.3
81.5

84.1
88.2
84.3
94.8
85.1
87.5
83.7

68.4
71.0
75.7
68.8
68.9
63.4
59.7

76.9
81.7
81.3
83.0
74.2
79.0
75.1

76.6
80.6
81.0
79.1
74.3
79.4
75.4

77.1
80.9
80.8
79.4
74.7
80.1
76.5

78.8
85.7
82.6
83.1
76.5
83.0
78.2

77.2
82.3
81.4
82.1
74.8
80.5
76.8

79.1
85.4
82.8
82.4
76.4
82.6
77.2

78.8
86.8
83.5
82.9
76.7
82.9
78.2

78.4
84.9
81.5
83.8
76.3
83.4
79.1

335
3361-- 3

2.09
7.32

83.2
77.5

89.0
89.3

93.0
88.9

71.7
70.1

81.7
80.7

82.3
79.1

84.9
80.9

87.7
79.0

86.1
83.1

88.3
82.6

87.3
78.3

87.4
75.9

3364-- 9
337
339

4.31
1.82
3.39

72.6
78.7
76.6

87.3
82.2
82.4

68.7
83.4
81.3

62.7
69.5
70.5

66.6
75.1
77.5

68.8
73.5
77.3

65.8
73.8
78.2

71.4
73.7
77.9

58.5
74.6
78.5

70.4
73.7
79.1

71.4
73.4
78.0

72.2
74.0
76.5

311,2
313,4
315,6
322
323
324
325
326

34.17
11.08
1.25
.93
2.63
2.29
1.79
10.81
3.39

81.7
81.8
82.8
79.3
87.8
84.0
85.9
78.3
83.5

86.9
85.9
91.5
84.2
93.6
91.9
89.0
85.0
89.5

85.3
84.1
91.2
88.2
91.5
86.3
90.6
81.1
92.4

75.6
76.7
70.1
60.4
79.5
72.1
84.1
71.4
75.0

80.1
79.8
75.8
73.5
86.0
75.6
93.4
77.1
85.5

80.1
80.4
74.9
74.0
84.2
75.5
93.8
76.8
85.3

79.5
80.7
77.2
77.3
83.2
76.5
90.1
74.7
86.6

80.0
81.8
78.4
80.7
84.3
77.4
86.6
74.2
89.1

78.7
80.8
77.7
78.5
83.3
76.8
86.3
71.9
88.2

79.2
81.2
78.4
78.6
85.3
77.2
83.7
73.0
88.1

80.2
81.6
78.7
80.6
84.3
77.6
88.5
74.4
89.4

80.6
82.5
78.2
82.8
83.2
77.2
87.6
75.1
89.9

1133,5111

4.22

84.7

91.0

83.2

81.2

86.8

87.1

85.5

85.2

85.1

86.1

84.9

84.7

21
2211,2

6.78
8.87

87.3
86.8

86.1
92.7

89.0
93.7

85.6
83.7

89.4
83.9

89.6
85.2

86.1
88.1

82.1
86.4

80.7
88.0

78.9
85.4

82.6
85.8

84.7
88.1

3341
3342

5.94
1.03
1.78

78.2
78.2
76.0

80.9
80.2
80.7

86.1
84.2
85.9

57.4
64.7
41.1

75.3
77.3
62.1

74.7
78.6
64.0

75.3
79.0
68.9

75.3
79.9
74.3

75.5
79.3
70.5

74.9
79.5
72.9

75.2
79.9
74.3

75.8
80.4
75.6

334412-- 9

3.13

80.6

82.7

91.1

58.6

81.7

78.9

77.3

74.5

76.8

74.5

74.4

74.7

94.06
78.41

81.2
79.9

85.5
86.0

85.0
84.4

75.0
73.1

80.2
79.0

80.3
78.9

80.2
78.9

80.7
80.1

79.5
78.6

80.2
80.0

80.8
80.2

81.1
80.1

9.99
47.75
42.26

86.4
82.2
77.9

88.3
86.7
82.8

89.4
88.1
80.5

83.2
74.6
70.8

88.5
81.5
76.1

88.0
81.3
76.4

84.2
81.8
76.9

81.3
82.2
78.1

78.2
81.9
76.6

78.0
82.0
78.2

81.9
82.3
78.0

84.1
82.4
78.1

2004
proportion

Item

Total industry
Manufacturing
Manufacturing (NAICS)
Durable manufacturing
Wood products
Nonmetallic mineral products
Primary metal
Fabricated metal products
Machinery
Computer and electronic products
Electrical equip., appliances,
and components
Motor vehicles and parts
Aerospace and miscellaneous
transportation equipment
Furniture and related products
Miscellaneous
Nondurable manufacturing
Food, beverage, and tobacco products
Textile and product mills
Apparel and leather
Paper
Printing and support
Petroleum and coal products
Chemical
Plastics and rubber products
Other manufacturing (non-NAICS)
Mining
Utilities
Selected high-technology industries
Computer and peripheral equipment
Communications equipment
Semiconductors and related
electronic components

Measures excluding selected high-technology
industries
Total industry
Manufacturing1

STAGE-OF-PROCESS GROUPS
Crude
Primary and semifinished
Finished

r Revised. p Preliminary.
1. See note on cover page.

Table 8

INDUSTRIAL CAPACITY
Percent change
Item

197279

Average annual rate
1980198988
94

19952005

Fourth quarter to fourth quarter
2002

2003

2004

2005p

2005
Q1

Annual rate
Q2

Q3

Q4

Monthly rate
2005
Dec.

Total industry

3.0

1.9

2.2

3.5

.7

-.2

.6

1.6

1.3

1.6

1.7

1.8

.1

Manufacturing1

3.2

2.2

2.5

4.0

.4

-.1

.5

2.1

1.7

2.0

2.2

2.3

.2

Mining
Utilities

.7
4.3

.1
2.1

-.9
1.6

-.6
2.3

-1.3
4.5

-1.0
3.1

-.6
2.6

-.6
.0

-1.0
.7

-.7
.0

-.4
-.4

-.2
-.4

.0
.0

18.5

17.0

15.8

28.5

9.5

8.0

6.8

20.8

16.0

20.2

23.0

24.3

1.9

2.6

1.3

1.6

1.8

-.2

-.5

.1

.6

.5

.6

.7

.7

.1

1.7
3.1
3.7

.3
1.4
3.3

-.3
2.6
2.5

-.5
4.4
3.4

-1.0
.9
.6

-2.1
-.1
.6

-1.1
.9
.8

-.9
2.5
1.2

-1.3
2.1
1.1

-1.0
2.4
1.2

-.7
2.6
1.3

-.6
2.8
1.3

.0
.2
.1

Selected high-technology industries
Manufacturing1 ex. selected
high-technology industries

STAGE-OF-PROCESS GROUPS
Crude
Primary and semifinished
Finished

p Preliminary.
1. See note on cover page.

11

Table 9

GROSS VALUE OF FINAL PRODUCTS AND NONINDUSTRIAL SUPPLIES
Billions of 2000 dollars at annual rate, seasonally adjusted
2000

2005

2004
Q4

2005
Q1

Q2

Q3r

Q4p

2005
Sept.r

Oct.r

Nov.r

Dec.p

2,815.1

2,986.4

2,920.6

2,951.0

2,967.7

2,988.2

3,023.9

2,981.2

3,016.5

3,026.6

3,028.7

2,114.0
1,480.7
471.7
279.5
192.1
1,009.1

2,260.8
1,590.5
537.7
339.4
198.6
1,054.5

2,206.9
1,569.2
527.0
331.8
195.4
1,043.4

2,233.6
1,581.5
530.2
334.5
196.1
1,052.3

2,244.5
1,583.6
526.3
330.3
196.3
1,057.7

2,262.4
1,597.5
540.7
343.2
197.9
1,058.7

2,287.2
1,590.2
542.3
338.5
204.0
1,050.3

2,254.5
1,604.8
555.3
355.2
200.5
1,053.2

2,285.0
1,592.6
557.5
353.5
204.3
1,039.8

2,287.4
1,589.1
539.7
335.7
204.2
1,051.4

2,289.2
1,588.9
529.6
326.3
203.4
1,059.7

Equipment, total
Business and defense
Business
Defense and space

633.2
616.9
558.7
58.1

674.4
657.5
578.2
78.3

639.8
624.5
549.9
73.7

655.1
639.1
562.5
75.7

664.4
648.9
570.2
77.6

668.2
651.8
571.8
78.7

703.7
683.6
602.8
80.2

651.3
634.0
554.7
77.6

698.5
678.3
597.8
79.7

705.1
683.9
603.6
79.8

707.4
688.6
606.8
81.0

Nonindustrial supplies
Construction supplies
Business supplies
Commercial energy products

701.2
198.0
503.2
136.0

725.9
205.5
520.3
150.7

713.9
200.7
513.2
151.2

717.6
201.2
516.5
149.9

723.5
203.2
520.3
153.0

726.2
205.7
520.4
151.9

737.0
212.6
524.1
149.1

726.9
208.4
518.3
150.3

731.8
212.6
518.9
146.1

739.4
213.5
525.7
149.9

739.6
211.8
527.6
151.2

It
Item

Final products and nonindustrial
supplies
Final products
Consumer goods
Durable
Automotive products
Other durable goods
Nondurable

r Revised. p Preliminary.

Table 10

GROSS-VALUE-WEIGHTED INDUSTRIAL PRODUCTION: STAGE-OF-PROCESS GROUPS
Percent change, seasonally adjusted

It
Item

Finished
Semifinished
Primary
Crude

2004
gross value1
1,841.4
1,665.6
949.1
405.4

Fourth quarter to
fourth quarter
2003

2004

2005

2005
Q1

3.0
1.6
-.2
-1.6

4.8
5.0
2.8
3.7

5.2
5.7
-2.8
-9.2

5.9
4.2
-1.0
.3

r Revised. p Preliminary.
1. Billions of 2000 dollars.

12

Annual rate
Q2

Q3r

Q4p

2005
Sept.r

1.9
3.5
-2.4
-4.1

4.1
8.3
-4.5
-20.9

8.9
6.9
-3.2
-10.6

-.4
.9
-2.2
-10.7

Monthly rate
Oct.r

Nov.r

Dec.p

2.4
.9
-1.4
1.0

-.3
-.1
2.8
5.6

.0
.2
.9
2.7

Dec. ’04
to
Dec. ’05
4.7
5.3
-2.1
-6.6

Table 11

HISTORICAL STATISTICS FOR INDUSTRIAL PRODUCTION, CAPACITY, AND UTILIZATION: Total Industry
Seasonally adjusted
Year

Jan.

Feb.

Mar.

Apr.

May

June

July

Aug.

Sept.

Oct.

Nov.

Dec.

Q1

Q2

Q3

Q4

Annual

IP (percent
change)1
1983
1984
1985
1986
1987

1.9
2.1
-.3
.5
-.3

-.6
.5
.4
-.8
1.2

.9
.5
.2
-.6
.2

1.2
.6
-.2
.0
.6

.8
.5
.1
.2
.7

.6
.4
.0
-.3
.5

1.6
.3
-.6
.6
.6

1.1
.1
.5
-.2
.7

1.5
-.2
.4
.2
.3

.9
-.1
-.4
.4
1.5

.3
.4
.3
.5
.5

.5
.1
1.0
.9
.5

4.3
12.4
1.1
2.3
5.4

9.4
6.4
.6
-2.4
7.0

14.7
2.9
-.6
1.7
7.1

10.9
.4
2.5
4.5
9.9

2.6
9.0
1.3
1.0
5.1

1988
1989
1990
1991
1992

.1
.3
-.6
-.5
-.5

.3
-.5
.9
-.7
.7

.3
.3
.5
-.5
.7

.5
-.1
.0
.2
.7

.0
-.7
.1
1.0
.4

.2
.0
.3
1.0
.0

.2
-.9
-.1
.0
.8

.5
.9
.3
.2
-.5

-.3
-.3
.2
.9
.2

.6
-.1
-.7
-.2
.7

.2
.3
-1.2
-.1
.4

.4
.7
-.7
-.3
.1

3.4
1.5
2.9
-7.6
-.3

3.2
-1.9
2.9
2.7
6.9

2.1
-2.5
1.3
5.7
2.8

3.3
1.8
-5.9
1.0
3.9

5.0
.9
.9
-1.5
2.9

1993
1994
1995
1996
1997

.5
.5
.3
-.8
.2

.3
.0
.0
1.5
1.2

.0
1.0
.2
-.2
.8

.3
.5
.0
.9
-.1

-.4
.6
.2
.7
.6

.3
.7
.3
.8
.5

.3
.2
-.4
-.2
.5

.0
.5
1.4
.7
1.2

.5
.2
.4
.6
.9

.7
.9
-.2
.0
.7

.4
.6
.3
1.0
.9

.5
1.1
.4
.7
.4

3.7
5.3
5.3
1.8
8.5

1.0
7.5
1.1
8.4
5.7

2.4
5.3
3.7
5.1
8.9

6.1
7.9
3.5
6.2
10.6

3.3
5.4
4.8
4.2
7.3

1998
1999
2000
2001
2002

.4
.5
.2
-.8
.6

.1
.5
.4
-.7
-.1

.1
.2
.4
-.3
.9

.5
.2
.7
-.1
.4

.6
.8
.3
-.8
.4

-.5
-.1
.1
-.5
.9

-.3
.7
-.3
-.4
-.3

2.2
.5
-.3
-.3
.1

-.2
-.4
.4
-.4
.0

.7
1.3
-.3
-.5
-.4

-.1
.6
.0
-.4
.3

.3
.9
-.4
.0
-.5

4.4
4.1
5.4
-6.6
2.9

3.1
4.2
5.2
-4.9
6.1

3.6
4.3
-.9
-5.1
1.7

5.6
7.7
-1.3
-4.5
-1.6

5.9
4.5
4.3
-3.5
.1

2003
2004
2005

.5
.4
.2

.0
.8
.4

-.2
-.3
.0

-.8
.8
-.1

-.1
.9
.2

.3
-.6
.8

.5
.6
.0

.1
.3
.3

.7
-.2
-1.3

.1
.7
1.0

.9
.2
.8

.2
.7
.6

.8
5.3
3.8

-3.3
5.2
1.6

3.6
2.6
1.4

5.1
4.2
3.8

.6
4.1
3.2

IP (2002=100)
2003
2004
2005

100.5
102.7
106.9

100.6
103.5
107.4

100.4
103.2
107.3

99.6
104.0
107.2

99.5
105.0
107.4

99.8
104.4
108.3

100.3
105.0
108.3

100.4
105.3
108.6

101.0
105.1
107.2

101.1
105.8
108.2

102.0
106.0
109.1

102.3
106.7
109.8

100.5
103.1
107.2

99.7
104.4
107.6

100.5
105.1
108.0

101.8
106.2
109.0

100.6
104.7
108.1

Capacity
(percent of
2002 output)
2003
2004
2005

133.1
133.0
134.0

133.1
133.0
134.2

133.0
133.0
134.3

133.0
133.1
134.5

133.0
133.1
134.7

132.9
133.2
134.9

132.9
133.3
135.1

132.9
133.4
135.3

132.9
133.5
135.5

132.9
133.6
135.7

132.9
133.7
135.9

132.9
133.9
136.1

133.1
133.0
134.2

133.0
133.1
134.7

132.9
133.4
135.3

132.9
133.7
135.9

133.0
133.3
135.0

Utilization
(percent)
1983
1984
1985
1986
1987

72.0
79.5
79.9
79.7
79.0

71.5
79.7
80.1
79.0
79.8

72.1
80.0
80.0
78.4
79.8

72.9
80.4
79.7
78.3
80.1

73.4
80.7
79.6
78.4
80.6

73.8
80.8
79.4
78.0
80.8

74.9
80.9
78.7
78.4
81.2

75.7
80.9
78.9
78.2
81.6

76.8
80.6
79.1
78.3
81.7

77.5
80.3
78.6
78.5
82.8

77.6
80.5
78.8
78.7
83.1

77.9
80.3
79.4
79.3
83.4

71.8
79.7
80.0
79.0
79.6

73.4
80.7
79.6
78.2
80.5

75.8
80.8
78.9
78.3
81.5

77.7
80.4
78.9
78.9
83.1

74.7
80.4
79.4
78.6
81.2

1988
1989
1990
1991
1992

83.4
85.1
82.4
79.7
79.1

83.6
84.6
82.9
79.1
79.5

83.7
84.7
83.2
78.6
80.0

84.1
84.5
83.0
78.6
80.4

84.0
83.8
82.9
79.3
80.6

84.2
83.6
82.9
80.0
80.5

84.3
82.7
82.7
79.9
81.0

84.6
83.3
82.8
79.9
80.4

84.3
82.8
82.8
80.5
80.5

84.7
82.6
82.0
80.2
80.9

84.8
82.7
80.9
80.0
81.0

85.0
83.1
80.2
79.7
81.0

83.6
84.8
82.8
79.1
79.6

84.1
84.0
82.9
79.3
80.5

84.4
82.9
82.7
80.1
80.6

84.8
82.8
81.1
80.0
81.0

84.2
83.6
82.4
79.6
80.4

1993
1994
1995
1996
1997

81.2
82.5
85.0
82.1
83.3

81.4
82.3
84.7
83.0
83.9

81.3
83.0
84.5
82.5
84.1

81.4
83.2
84.1
82.9
83.6

81.0
83.5
83.9
83.1
83.6

81.1
83.8
83.8
83.5
83.5

81.2
83.8
83.1
83.0
83.5

81.1
83.9
83.9
83.2
84.0

81.4
83.8
83.8
83.3
84.3

81.8
84.2
83.3
82.9
84.3

82.0
84.5
83.2
83.3
84.6

82.3
85.0
83.2
83.5
84.4

81.3
82.6
84.7
82.5
83.7

81.1
83.5
83.9
83.2
83.6

81.2
83.8
83.6
83.1
83.9

82.0
84.6
83.2
83.3
84.4

81.4
83.6
83.9
83.0
83.9

1998
1999
2000
2001
2002

84.2
82.0
82.5
79.2
74.3

83.7
82.0
82.5
78.4
74.1

83.3
81.8
82.5
77.9
74.7

83.1
81.7
82.7
77.6
74.9

83.1
82.0
82.7
76.9
75.2

82.2
81.7
82.5
76.3
75.8

81.5
81.9
82.0
75.9
75.6

82.8
82.0
81.4
75.4
75.6

82.3
81.3
81.5
75.0
75.6

82.5
82.1
80.9
74.5
75.3

82.1
82.2
80.7
74.0
75.5

81.9
82.6
80.1
73.9
75.2

83.7
81.9
82.5
78.5
74.4

82.8
81.8
82.6
76.9
75.3

82.2
81.7
81.6
75.4
75.6

82.2
82.3
80.6
74.2
75.3

82.7
81.9
81.8
76.3
75.1

2003
2004
2005

75.5
77.2
79.8

75.6
77.8
80.0

75.4
77.6
79.9

74.9
78.1
79.7

74.9
78.8
79.8

75.1
78.4
80.3

75.4
78.8
80.2

75.5
79.0
80.3

76.0
78.7
79.1

76.1
79.2
79.8

76.8
79.3
80.3

76.9
79.7
80.7

75.5
77.5
79.9

74.9
78.4
79.9

75.6
78.8
79.8

76.6
79.4
80.2

75.7
78.6
80.0

1. Quarterly changes are at annual rates. Annual changes are calculated from annual averages.

13

Table 12

HISTORICAL STATISTICS FOR INDUSTRIAL PRODUCTION, CAPACITY, AND UTILIZATION: Manufacturing1
Seasonally adjusted
Year

Jan.

Feb.

Mar.

Apr.

May

June

July

Aug.

Sept.

Oct.

Nov.

Dec.

Q1

Q2

Q3

Q4

Annual

IP (percent
change) 2
1983
1984
1985
1986
1987

2.4
1.9
-.4
1.2
-.3

-.1
1.1
-.3
-.7
1.4

1.0
.5
.8
-.3
.1

1.1
.5
-.3
.4
.5

1.3
.2
.1
.2
.7

.8
.4
.1
-.4
.4

1.5
.5
-.6
.5
.7

.7
.2
.6
.3
.5

1.9
-.2
.1
.2
.6

1.2
.4
-.3
.3
1.6

.3
.3
.6
.5
.6

.2
.3
.4
.9
.6

8.7
12.8
.1
4.4
6.0

12.2
6.3
1.1
-.1
6.7

15.4
3.7
.1
2.5
6.9

12.5
2.8
2.3
4.9
11.3

4.6
9.9
1.8
2.2
5.5

1988
1989
1990
1991
1992

-.2
.8
-.2
-.8
-.5

.1
-1.0
1.4
-.7
.9

.3
-.1
.4
-.6
.9

.8
.1
-.1
.3
.5

-.1
-.8
.0
.7
.7

.1
.1
.2
1.1
.3

.1
-1.1
-.2
.3
.8

.1
.9
.3
.3
-.4

.3
-.3
.0
1.0
.0

.7
-.2
-.8
-.2
.6

.3
.2
-1.1
-.2
.4

.4
.2
-.8
-.1
-.1

2.4
1.7
4.4
-9.1
.7

4.1
-3.4
2.7
2.2
7.9

1.4
-3.0
.6
7.4
3.9

5.0
.5
-6.5
1.8
2.7

5.2
.8
.7
-2.0
3.7

1993
1994
1995
1996
1997

1.0
.3
.4
-1.0
.2

.1
.1
-.1
1.5
1.4

-.1
1.3
.3
-.3
1.2

.5
.8
-.1
1.2
-.3

-.1
.7
.0
.7
.8

-.1
.3
.4
1.0
.7

.3
.5
-.6
.2
.3

-.1
.7
1.2
.7
1.5

.6
.3
.9
.7
.9

.8
1.0
-.1
.0
.7

.4
.8
.1
1.0
1.2

.6
1.1
.4
.9
.5

4.6
5.2
5.7
.8
10.1

1.5
9.5
.6
9.5
6.8

1.6
6.2
3.0
7.5
9.9

6.9
9.6
4.4
6.5
11.4

3.5
6.0
5.3
4.6
8.5

1998
1999
2000
2001
2002

.7
.3
.3
-.8
.5

.1
.8
.3
-.7
-.1

-.1
-.1
.6
-.4
.8

.6
.4
.7
-.1
.1

.5
1.0
.0
-.8
.5

-.6
-.2
.2
-.6
1.0

-.4
.5
-.1
-.2
-.4

2.6
.7
-.7
-.7
.3

-.3
-.4
.4
-.3
.0

1.0
1.5
-.3
-.6
-.6

.1
.7
-.3
-.2
.3

.5
.8
-.7
.3
-.5

6.0
4.6
6.1
-7.5
3.5

2.5
4.8
5.0
-5.1
5.3

3.9
4.0
-1.2
-5.6
2.2

7.8
9.3
-2.9
-4.2
-2.1

6.7
5.2
4.6
-4.2
.1

2003
2004
2005

.4
.3
.5

-.2
.9
.5

.2
.2
-.3

-.9
.8
.0

-.1
.8
.4

.6
-.6
.3

.3
.8
.1

-.1
.7
.4

.9
-.4
-.5

.1
.8
1.8

1.1
.0
.4

.1
.5
.2

.3
5.7
4.5

-2.7
6.6
1.3

3.3
4.1
2.0

6.1
4.0
7.9

.5
4.8
3.9

IP (2002=100)
2003
2004
2005

100.3
102.6
108.1

100.1
103.6
108.6

100.3
103.7
108.2

99.5
104.6
108.3

99.4
105.5
108.7

99.9
104.9
109.0

100.2
105.7
109.1

100.1
106.4
109.5

101.0
106.0
108.9

101.1
106.9
110.9

102.3
106.9
111.4

102.3
107.5
111.6

100.3
103.3
108.3

99.6
105.0
108.6

100.4
106.1
109.2

101.9
107.1
111.3

100.5
105.4
109.5

Capacity
(percent of
2002 output)
2003
2004
2005

136.4
136.3
137.4

136.4
136.3
137.6

136.4
136.3
137.8

136.4
136.4
138.1

136.4
136.4
138.3

136.4
136.5
138.6

136.4
136.5
138.8

136.4
136.6
139.1

136.4
136.7
139.3

136.4
136.9
139.6

136.3
137.0
139.9

136.3
137.2
140.1

136.4
136.3
137.6

136.4
136.4
138.3

136.4
136.6
139.1

136.3
137.0
139.9

136.4
136.6
138.7

Utilization
(percent)
1983
1984
1985
1986
1987

70.0
78.1
79.1
78.9
78.9

69.9
78.9
78.6
78.2
79.8

70.5
79.1
79.0
77.9
79.7

71.3
79.4
78.6
78.1
79.9

72.2
79.5
78.5
78.2
80.4

72.7
79.6
78.4
77.8
80.5

73.8
79.8
77.7
78.1
80.9

74.3
79.8
78.0
78.2
81.1

75.7
79.4
77.9
78.3
81.5

76.5
79.5
77.6
78.4
82.6

76.7
79.6
77.9
78.7
83.0

76.8
79.6
78.1
79.2
83.4

70.1
78.7
78.9
78.4
79.5

72.1
79.5
78.5
78.0
80.3

74.6
79.7
77.9
78.2
81.2

76.7
79.6
77.9
78.8
83.0

73.4
79.4
78.3
78.3
81.0

1988
1989
1990
1991
1992

83.2
85.5
81.5
78.4
78.1

83.2
84.5
82.4
77.7
78.6

83.4
84.3
82.6
77.1
79.2

84.0
84.2
82.3
77.3
79.4

83.9
83.3
82.1
77.7
79.8

84.0
83.2
82.2
78.5
79.8

84.0
82.1
81.8
78.6
80.3

84.0
82.7
81.9
78.7
79.8

84.2
82.2
81.7
79.4
79.7

84.7
81.9
81.0
79.1
80.0

84.8
81.9
79.9
78.9
80.1

85.0
81.8
79.2
78.7
79.8

83.3
84.8
82.2
77.7
78.6

84.0
83.6
82.2
77.8
79.7

84.1
82.4
81.8
78.9
79.9

84.8
81.9
80.0
78.9
79.9

84.0
83.1
81.6
78.3
79.6

1993
1994
1995
1996
1997

80.5
81.3
84.5
80.8
82.2

80.4
81.1
84.1
81.6
82.8

80.2
82.0
83.9
81.0
83.3

80.4
82.4
83.4
81.5
82.5

80.2
82.8
83.0
81.7
82.7

80.0
82.8
82.9
82.1
82.7

80.1
82.9
82.0
81.9
82.4

79.9
83.2
82.6
82.1
83.1

80.3
83.1
82.9
82.2
83.3

80.7
83.6
82.4
81.8
83.3

80.9
84.0
82.1
82.1
83.6

81.2
84.5
82.0
82.4
83.4

80.4
81.4
84.1
81.1
82.8

80.2
82.6
83.1
81.8
82.6

80.1
83.1
82.5
82.1
83.0

81.0
84.0
82.2
82.1
83.4

80.4
82.8
83.0
81.8
83.0

1998
1999
2000
2001
2002

83.4
80.9
81.3
77.0
72.5

82.9
81.1
81.2
76.2
72.3

82.2
80.7
81.4
75.7
72.9

82.1
80.6
81.6
75.4
73.0

81.9
81.1
81.2
74.6
73.3

80.9
80.5
81.0
74.0
74.0

80.1
80.6
80.6
73.7
73.7

81.7
80.8
79.8
73.1
73.9

81.0
80.1
79.8
72.7
73.9

81.4
80.9
79.2
72.2
73.4

81.1
81.2
78.7
72.0
73.6

81.1
81.5
77.8
72.1
73.3

82.8
80.9
81.3
76.3
72.6

81.7
80.7
81.3
74.7
73.4

80.9
80.5
80.0
73.2
73.8

81.2
81.2
78.6
72.1
73.4

81.7
80.8
80.3
74.1
73.3

2003
2004
2005

73.5
75.3
78.6

73.4
76.0
78.9

73.5
76.1
78.5

72.9
76.7
78.4

72.8
77.3
78.6

73.2
76.9
78.7

73.4
77.4
78.6

73.4
77.9
78.8

74.0
77.5
78.2

74.1
78.1
79.5

75.0
78.0
79.6

75.1
78.3
79.6

73.5
75.8
78.7

73.0
77.0
78.5

73.6
77.6
78.5

74.7
78.2
79.6

73.7
77.1
78.8

1. See note on cover page.
2. Quarterly changes are at annual rates. Annual changes are calculated from annual averages.

14

Table 13

HISTORICAL STATISTICS FOR INDUSTRIAL PRODUCTION, CAPACITY, AND UTILIZATION: Total Industry Excluding Selected
High-Technology Industries
Seasonally adjusted
Year

Jan.

Feb.

Mar.

Apr.

May

June

July

Aug.

Sept.

Oct.

Nov.

Dec.

Q1

Q2

Q3

Q4

Annual

IP (percent
change) 1
1983
1984
1985
1986
1987

1.9
2.0
-.3
.6
-.5

-.7
.3
.5
-.8
1.2

.8
.4
.2
-.7
.2

1.1
.5
.0
.0
.5

.7
.4
.1
.1
.6

.5
.2
.0
-.2
.4

1.5
.2
-.5
.3
.5

1.2
.0
.5
-.2
.6

1.2
-.2
.5
.2
.2

.8
-.2
-.4
.4
1.4

.2
.3
.3
.4
.5

.4
.1
1.1
.8
.4

3.6
11.4
.9
2.3
4.5

8.5
5.0
1.2
-2.7
6.3

13.8
1.6
-.2
.6
6.0

9.6
-.3
2.6
4.0
9.1

1.8
7.9
1.0
.9
4.2

1988
1989
1990
1991
1992

.0
.3
-.7
-.5
-.8

.3
-.5
.8
-.8
.7

.2
.4
.4
-.6
.7

.4
-.1
-.1
.2
.6

-.1
-.7
.0
1.0
.3

.2
.0
.2
1.0
-.2

.1
-1.1
-.2
.0
.7

.5
.9
.3
.1
-.5

-.4
-.4
.1
.9
.1

.6
-.2
-.8
-.2
.6

.2
.3
-1.2
-.2
.3

.4
.7
-.8
-.5
.0

3.1
1.8
2.2
-8.1
-1.9

2.6
-2.1
2.4
2.2
6.1

1.5
-3.3
1.0
5.4
1.7

2.9
1.0
-6.5
.3
3.0

4.4
.6
.3
-2.0
1.9

1993
1994
1995
1996
1997

.5
.4
.2
-1.0
-.1

.3
-.1
-.2
1.4
.8

.0
.8
-.1
-.4
.5

.2
.3
-.2
.8
-.4

-.4
.4
.0
.5
.3

.2
.6
.1
.7
.3

.3
.1
-.5
-.5
.3

-.1
.3
1.2
.4
1.0

.4
.0
.1
.4
.8

.6
.7
-.4
-.2
.6

.3
.4
.1
.8
.7

.5
.9
.2
.4
.1

3.0
4.2
3.0
-.3
4.9

.4
5.3
-1.4
6.1
2.1

1.6
3.4
1.3
2.1
6.1

5.2
5.5
.5
3.5
8.3

2.5
4.0
2.4
1.7
4.2

1998
1999
2000
2001
2002

.1
.2
-.3
-.8
.8

.0
.2
.0
-.6
-.1

-.1
-.1
.1
-.3
.9

.2
-.2
.4
.0
.4

.5
.6
-.1
-.7
.4

-.9
-.4
.0
-.4
.9

-.8
.3
-.5
-.2
-.3

2.0
.4
-.5
-.3
-.1

-.6
-.5
.3
-.4
-.1

.5
1.2
-.5
-.5
-.5

-.3
.3
-.2
-.5
.2

.1
.6
-.5
.0
-.6

1.6
.9
.7
-6.7
3.4

1.0
.3
1.7
-4.0
6.2

-.3
1.2
-3.0
-4.0
1.3

2.3
5.6
-2.9
-4.8
-2.4

3.1
1.2
1.1
-4.1
.3

2003
2004
2005

.4
.3
.0

-.2
.7
.3

-.3
-.4
-.1

-.8
.8
-.2

-.1
.9
.1

.2
-.7
.8

.4
.5
-.1

.0
.2
.1

.6
-.3
-1.5

.0
.8
1.0

.9
.2
.7

.2
.6
.5

-.6
4.3
2.4

-4.3
4.6
.8

2.6
1.6
.1

4.4
3.8
2.8

-.3
3.2
2.2

IP (2002=100)
2003
2004
2005

100.1
101.2
104.5

99.9
101.9
104.9

99.7
101.6
104.8

98.8
102.4
104.6

98.7
103.3
104.7

98.9
102.6
105.5

99.3
103.1
105.4

99.2
103.3
105.5

99.9
103.0
104.0

99.9
103.8
105.0

100.8
104.0
105.8

100.9
104.6
106.3

99.9
101.6
104.7

98.8
102.7
104.9

99.5
103.1
105.0

100.5
104.1
105.7

99.7
102.9
105.2

Capacity
(percent of
2002 output)
2003
2004
2005

130.6
130.1
130.5

130.5
130.1
130.5

130.4
130.1
130.6

130.3
130.1
130.6

130.2
130.2
130.7

130.2
130.2
130.7

130.1
130.2
130.8

130.1
130.3
130.8

130.1
130.3
130.9

130.1
130.4
130.9

130.1
130.4
131.0

130.1
130.4
131.0

130.5
130.1
130.5

130.3
130.2
130.7

130.1
130.3
130.8

130.1
130.4
131.0

130.2
130.2
130.7

Utilization
(percent)
1983
1984
1985
1986
1987

71.9
79.2
79.6
80.1
79.2

71.4
79.4
79.9
79.3
80.0

71.9
79.7
79.8
78.7
80.1

72.7
80.1
79.7
78.7
80.4

73.3
80.3
79.6
78.7
80.8

73.6
80.4
79.4
78.5
81.1

74.7
80.5
78.9
78.7
81.4

75.6
80.4
79.1
78.4
81.9

76.6
80.1
79.3
78.5
81.9

77.2
79.9
78.9
78.7
83.1

77.4
80.1
79.0
79.0
83.4

77.7
80.0
79.7
79.6
83.7

71.7
79.5
79.8
79.4
79.8

73.2
80.3
79.6
78.6
80.8

75.6
80.4
79.1
78.5
81.7

77.4
80.0
79.2
79.1
83.4

74.5
80.0
79.4
78.9
81.4

1988
1989
1990
1991
1992

83.7
85.5
82.7
80.1
79.0

84.0
85.0
83.2
79.3
79.5

84.1
85.2
83.5
78.8
80.0

84.4
84.9
83.3
78.8
80.5

84.3
84.2
83.2
79.5
80.6

84.5
84.1
83.3
80.2
80.4

84.5
83.0
83.0
80.1
81.0

84.9
83.6
83.1
80.1
80.5

84.5
83.2
83.1
80.7
80.5

84.9
82.9
82.4
80.5
80.9

85.0
83.0
81.2
80.2
81.1

85.3
83.4
80.5
79.7
81.0

83.9
85.2
83.1
79.4
79.5

84.4
84.4
83.2
79.5
80.5

84.6
83.3
83.1
80.3
80.6

85.1
83.1
81.4
80.1
81.0

84.5
84.0
82.7
79.8
80.4

1993
1994
1995
1996
1997

81.3
82.6
85.0
82.1
83.4

81.5
82.5
84.6
83.1
83.8

81.3
83.1
84.4
82.6
84.0

81.5
83.2
84.0
83.1
83.4

81.0
83.5
83.8
83.3
83.4

81.2
83.9
83.7
83.7
83.3

81.3
83.8
83.1
83.1
83.2

81.2
83.9
83.8
83.3
83.8

81.4
83.8
83.7
83.5
84.1

81.9
84.2
83.2
83.1
84.3

82.1
84.4
83.1
83.5
84.6

82.4
85.0
83.1
83.7
84.4

81.4
82.7
84.6
82.6
83.7

81.2
83.5
83.8
83.4
83.4

81.3
83.8
83.5
83.3
83.7

82.1
84.5
83.1
83.4
84.5

81.5
83.6
83.8
83.2
83.8

1998
1999
2000
2001
2002

84.2
82.2
81.9
78.9
75.6

83.9
82.1
81.8
78.4
75.4

83.6
81.9
81.8
78.0
76.1

83.6
81.5
82.0
78.0
76.3

83.7
81.9
81.8
77.3
76.6

82.8
81.4
81.7
76.9
77.3

81.9
81.4
81.2
76.7
77.0

83.3
81.6
80.7
76.4
77.0

82.6
81.0
80.9
76.0
76.9

82.8
81.9
80.4
75.5
76.6

82.3
82.0
80.2
75.1
76.8

82.2
82.3
79.7
75.0
76.3

83.9
82.1
81.8
78.4
75.7

83.4
81.6
81.9
77.4
76.7

82.6
81.4
80.9
76.4
77.0

82.5
82.1
80.1
75.2
76.6

83.1
81.8
81.2
76.9
76.5

2003
2004
2005

76.7
77.8
80.1

76.6
78.4
80.3

76.4
78.1
80.3

75.8
78.7
80.1

75.8
79.3
80.1

76.0
78.8
80.7

76.3
79.2
80.6

76.3
79.3
80.7

76.8
79.0
79.5

76.8
79.6
80.2

77.5
79.7
80.8

77.6
80.2
81.1

76.6
78.1
80.2

75.9
78.9
80.3

76.4
79.2
80.2

77.3
79.8
80.7

76.5
79.0
80.4

1. Quarterly changes are at annual rates. Annual changes are calculated from annual averages.
NOTE. Selected high-- technology industries are computers, communications equipment, and semiconductors and related electronic components.

15

Table 14

HISTORICAL STATISTICS FOR INDUSTRIAL PRODUCTION, CAPACITY, AND UTILIZATION: Manufacturing1 Excluding Selected
High-Technology Industries
Seasonally adjusted
Year

Jan.

Feb.

Mar.

Apr.

May

June

July

Aug.

Sept.

Oct.

Nov.

Dec.

Q1

Q2

Q3

Q4

Annual

IP (percent
change) 2
1983
1984
1985
1986
1987

2.4
1.8
-.5
1.3
-.4

-.2
.9
-.3
-.7
1.4

.9
.4
.9
-.3
.1

1.0
.4
-.1
.4
.4

1.3
.1
.1
.1
.7

.7
.3
.1
-.2
.3

1.3
.4
-.4
.2
.5

.9
.1
.6
.2
.3

1.5
-.3
.2
.2
.5

1.1
.4
-.3
.3
1.5

.2
.3
.6
.4
.5

.2
.3
.4
.8
.5

7.9
11.4
-.2
4.7
4.8

11.2
4.4
1.8
-.3
5.8

14.2
2.0
.7
1.2
5.5

10.9
1.9
2.4
4.2
10.4

3.6
8.4
1.4
2.2
4.6

1988
1989
1990
1991
1992

-.2
.9
-.3
-.8
-.8

.1
-1.0
1.4
-.8
.9

.2
.0
.3
-.7
.9

.7
.0
-.2
.3
.4

-.2
-.8
.0
.7
.6

.0
.1
.2
1.1
.1

.0
-1.3
-.2
.3
.7

.1
.9
.3
.2
-.5

.3
-.3
-.1
1.1
-.1

.6
-.3
-.8
-.2
.4

.3
.1
-1.2
-.3
.3

.4
.1
-.8
-.3
-.2

2.0
2.1
3.7
-9.8
-1.1

3.4
-3.7
2.1
1.5
6.9

.6
-4.0
.2
7.1
2.5

4.7
-.4
-7.2
1.0
1.5

4.4
.4
.0
-2.6
2.6

1993
1994
1995
1996
1997

1.0
.1
.2
-1.2
-.2

.0
.0
-.3
1.3
1.0

-.2
1.1
-.1
-.5
.9

.5
.5
-.4
1.0
-.7

-.1
.6
-.3
.4
.5

-.2
.2
.2
.8
.4

.2
.3
-.8
-.1
.1

-.2
.5
.9
.4
1.3

.5
.0
.5
.5
.7

.7
.8
-.4
-.4
.5

.3
.6
-.1
.8
.9

.5
.9
.2
.6
.2

3.8
3.9
2.9
-1.8
6.0

.8
7.0
-2.4
6.9
2.6

.5
4.0
.1
4.1
6.7

5.8
6.8
.9
3.3
8.8

2.6
4.4
2.5
1.5
4.9

1998
1999
2000
2001
2002

.4
-.1
-.3
-.7
.7

-.1
.5
-.1
-.6
-.1

-.3
-.5
.3
-.4
.9

.4
-.1
.4
.1
.1

.4
.8
-.5
-.8
.5

-1.1
-.7
.0
-.4
1.0

-.9
.0
-.3
.0
-.4

2.4
.7
-.9
-.7
.1

-.7
-.6
.3
-.3
-.1

.7
1.4
-.4
-.7
-.7

-.1
.4
-.6
-.2
.1

.2
.4
-.9
.2
-.6

2.8
.8
.6
-7.8
4.2

.1
.3
.8
-4.1
5.3

-.7
.4
-3.7
-4.3
1.7

4.1
7.1
-4.9
-4.5
-3.2

3.5
1.4
.9
-4.9
.3

2003
2004
2005

.3
.1
.3

-.4
.8
.4

.1
.1
-.4

-.9
.9
-.1

-.2
.7
.3

.5
-.7
.2

.1
.8
.0

-.3
.5
.2

.9
-.5
-.7

.0
.9
1.9

1.2
.0
.3

.0
.4
.0

-1.5
4.4
2.8

-3.9
6.0
.3

2.1
2.9
.5

5.3
3.6
6.9

-.6
3.8
2.8

IP (2002=100)
2003
2004
2005

99.8
100.9
105.2

99.4
101.7
105.6

99.5
101.8
105.2

98.5
102.7
105.1

98.4
103.5
105.4

98.8
102.7
105.7

99.0
103.5
105.6

98.7
104.1
105.9

99.6
103.5
105.2

99.6
104.5
107.1

100.8
104.5
107.4

100.8
104.9
107.4

99.5
101.5
105.3

98.6
103.0
105.4

99.1
103.7
105.6

100.4
104.6
107.3

99.4
103.2
106.1

Capacity
(percent of
2002 output)
2003
2004
2005

133.6
133.0
133.2

133.5
133.0
133.3

133.4
133.0
133.4

133.4
133.0
133.5

133.3
133.0
133.5

133.3
133.0
133.6

133.2
133.0
133.7

133.2
133.0
133.8

133.1
133.1
133.8

133.1
133.1
133.9

133.0
133.1
134.0

133.0
133.2
134.1

133.5
133.0
133.3

133.3
133.0
133.5

133.2
133.0
133.8

133.0
133.1
134.0

133.3
133.0
133.6

Utilization
(percent)
1983
1984
1985
1986
1987

69.7
77.7
78.6
79.3
79.1

69.6
78.4
78.2
78.6
80.1

70.3
78.6
78.7
78.3
80.0

71.0
78.9
78.5
78.5
80.2

71.9
78.9
78.4
78.5
80.7

72.5
79.0
78.3
78.3
80.8

73.4
79.2
77.8
78.4
81.2

74.1
79.1
78.2
78.5
81.4

75.3
78.7
78.2
78.6
81.7

76.1
78.9
77.8
78.7
82.9

76.3
79.0
78.2
79.0
83.3

76.4
79.1
78.4
79.5
83.7

69.9
78.3
78.5
78.7
79.7

71.8
78.9
78.4
78.5
80.6

74.3
79.0
78.1
78.5
81.4

76.3
79.0
78.1
79.1
83.3

73.0
78.8
78.3
78.7
81.3

1988
1989
1990
1991
1992

83.6
86.0
81.8
78.7
78.0

83.6
85.0
82.8
78.0
78.6

83.8
84.8
82.9
77.3
79.2

84.4
84.7
82.6
77.4
79.4

84.3
83.8
82.5
77.9
79.8

84.3
83.7
82.5
78.6
79.8

84.3
82.5
82.2
78.8
80.3

84.3
83.1
82.3
78.8
79.8

84.5
82.6
82.1
79.6
79.7

85.0
82.2
81.3
79.3
79.9

85.1
82.2
80.2
79.0
80.1

85.4
82.1
79.5
78.7
79.8

83.7
85.3
82.5
78.0
78.6

84.3
84.1
82.5
78.0
79.7

84.4
82.7
82.2
79.1
79.9

85.2
82.2
80.3
79.0
79.9

84.4
83.6
81.9
78.5
79.5

1993
1994
1995
1996
1997

80.5
81.3
84.4
80.6
82.2

80.4
81.2
84.0
81.6
82.7

80.2
82.0
83.7
80.9
83.1

80.5
82.3
83.2
81.6
82.2

80.3
82.7
82.8
81.8
82.3

80.0
82.7
82.8
82.3
82.3

80.1
82.9
81.9
82.0
82.1

79.9
83.2
82.5
82.2
82.8

80.2
83.0
82.7
82.4
83.1

80.7
83.5
82.2
81.8
83.2

80.9
83.9
81.9
82.3
83.6

81.2
84.4
81.8
82.5
83.4

80.4
81.5
84.0
81.0
82.7

80.2
82.6
82.9
81.9
82.3

80.1
83.0
82.3
82.2
82.6

81.0
83.9
81.9
82.2
83.4

80.4
82.8
82.8
81.8
82.7

1998
1999
2000
2001
2002

83.4
81.0
80.6
76.5
73.8

83.1
81.2
80.3
76.0
73.7

82.5
80.6
80.4
75.6
74.3

82.5
80.3
80.6
75.6
74.4

82.5
80.8
80.1
75.0
74.8

81.4
80.1
80.0
74.6
75.5

80.4
79.9
79.6
74.5
75.2

82.1
80.2
78.8
74.0
75.3

81.3
79.6
78.9
73.7
75.3

81.6
80.6
78.4
73.2
74.8

81.3
80.8
77.9
73.1
74.9

81.3
81.0
77.1
73.3
74.5

83.0
80.9
80.4
76.0
73.9

82.1
80.4
80.2
75.0
74.9

81.3
79.9
79.1
74.1
75.3

81.4
80.8
77.8
73.2
74.8

81.9
80.5
79.4
74.6
74.7

2003
2004
2005

74.7
75.9
78.9

74.4
76.5
79.2

74.5
76.6
78.9

73.9
77.2
78.8

73.8
77.8
79.0

74.2
77.3
79.1

74.3
77.8
79.0

74.1
78.2
79.2

74.8
77.8
78.6

74.8
78.5
80.0

75.7
78.5
80.2

75.8
78.8
80.1

74.6
76.3
79.0

73.9
77.4
78.9

74.4
78.0
78.9

75.4
78.6
80.1

74.6
77.6
79.2

1. See note on cover page.
2. Quarterly changes are at annual rates. Annual changes are calculated from annual averages.
NOTE. Selected high-- technology industries are computers, communications equipment, and semiconductors and related electronic components.

16

EXPLANATORY NOTE

Censuses of Manufactures and Mineral Industries and the Annual Survey
of Manufactures, prepared by the Bureau of the Census; the Minerals
Yearbook, prepared by the United States Geological Survey of the
Department of the Interior; and publications of the Department of Energy.
Aggregation Methodology and Weights. The aggregation method for
the IP index is a version of the Fisher-ideal index formula. (For a detailed
discussion of the aggregation method, see Federal Reserve Bulletin
February 1997 and March 2001.) In the IP index, series that measure the
output of an individual industry are combined using weights derived from
their proportion in the total value-added output of all industries. The IP
index, which extends back to 1919, is built as a chain-type index since
1972. The current formula for the growth in monthly IP (or any of the
sub-aggregates) since 1972 is the geometric mean of the change in output
(I), and, as can be seen below, is computed using the unit value added
estimate for the current month (pm ) and the estimate for previous month:

The Industrial Production and Capacity Utilization statistical release,
which is published around the middle of the month, reports measures of
output, capacity, and capacity utilization in manufacturing, mining, and
the electric and gas utilities industries. More detailed descriptions of
industrial production and capacity utilization are available at
www.federalreserve.gov/releases/G17 at the Board’s World Wide Web
site. In addition, files containing data shown in the release, more detailed
series that were published in the G.17 prior to December 2000, and
historical data are available at the Board’s Web site. Instructions for
searching for and downloading specific series are provided as well. For
paid access to the data files through the Department of Commerce’s
Economic Bulletin Board or World Wide Web site, please call STAT-USA
at 1-800-STAT-USA or 202-452-1986. Diskettes containing historical
data and the data published in this release also are available from the
Board of Governors of the Federal Reserve System, Publications Services,
202-452-3245.

IA
m
=
IA
m–1

INDUSTRIAL PRODUCTION
Coverage. The industrial production (IP) index measures the real output
of the manufacturing, mining, and electric and gas utilities industries; the
reference period for the index is 2002. Manufacturing consists of those
industries included in the North American Industry Classification System,
or NAICS, definition of manufacturing plus those industries--logging and
newspaper, periodical, book and directory publishing--that have
traditionally been considered to be manufacturing and included in the
industrial sector. For the period since 1997, the total IP index has been
constructed from 300 individual series based on the 2002 North American
Industrial Classification System (NAICS) codes. These individual series
are classified in two ways: (1) market groups, and (2) industry groups.
Market groups consist of products and materials. Total products are the
aggregate of final products, such as consumer goods and equipment, and
nonindustrial supplies (which are inputs to nonindustrial sectors).
Materials are inputs in the manufacture of products. Major industry
groups include three-digit NAICS industries and aggregates of these
industries—for example, durable and nondurable manufacturing, mining,
and utilities. A complete description of the market and industry structures,
including details regarding series classification, relative importance
weights, and data sources, is available on the Board’s web site
(www.federalreserve.gov/releases/G17/About.html) . Changes in
output for the market and industry groups are summarized in table 1 and
the levels of output (in index form) are shown in table 4. Special
aggregates, that highlight the relative importance and contributions of
several key industries, such as high-technology and motor vehicles, are
summarized in tables 2 and 5. For a detailed description of the contents of
the statistical tables, see below.
Source data. On a monthly basis, the individual indexes of industrial
production are constructed from two main types of source data: (1) output
measured in physical units and (2) data on inputs to the production
process, from which output is inferred. Data on physical products, such as
tons of steel or barrels of oil, are obtained from private trade associations
and from government agencies; data of this type are used to estimate
monthly IP wherever possible and appropriate. Production indexes for a
few industries are derived by dividing estimated nominal output
(calculated using unit production or sales and unit values) by a
corresponding Fisher price index; the most notable of these fall within the
high-technology grouping and include computers, communications
equipment, and semiconductors. When suitable data on physical product
are not available, estimates of output are based on production-worker
hours by industry. Data on hours worked by production workers are
collected in the monthly establishment survey conducted by the Bureau of
Labor Statistics. The factors used to convert inputs into estimates of
production are based on historical relationships between the inputs and the
comprehensive annual data used to benchmark the IP indexes; these
factors also may be influenced by technological or cyclical developments.
The annual data used in benchmarking the individual IP indexes are
constructed from a variety of source data, such as the quinquennial

17



Imp m–1

Im–1p m–1

×

 Imp m
 Im–1p m

The IP proportions (typically shown in the first column of the relevant
tables in the G.17 release) are estimates of the industries’ relative
contributions to overall growth in the following year. For example, the
relative importance weight of the motor vehicles and parts industry is
about 8 percent. If output in this industry increased 10 percent in a month,
then this gain would boost growth in total IP by 8/10 percentage point
(0.08 x 10% = 0.8%). To assist users with calculations, the Federal
Reserve’s web site provides supplemental monthly statistics that represent
the exact proportionate contribution of a monthly change in a component
index to the monthly change in the total index (www.federalreserve.gov/
releases/G17/ipdisk/ipweights.sa).
Timing. The first estimate of output for a month is published around the
15th of the following month. The estimate is preliminary (denoted by the
superscript “p” in tables) and subject to revision in each of the subsequent
three months as new source data become available. (Revised estimates are
denoted by the superscript “r” in tables.) For the first estimate of output
for a given month, about 70 percent of the source data (in value-added
terms) are available; the fraction of available source data increases to about
85 percent for estimates in the second month that the estimate is published,
96 percent in the third month, and 97 percent in the fourth month. Data
availability by data type is summarized in the table below:
Availability of Monthly IP Data in Publication Window
(Percent of value added in 2004)
Month of estimate
Type of data

1st

2nd

3rd

4th

Physical product

25

40

51

52

Production-worker
hours

45

45

45

45

IP data received

70

85

96

97

IP data estimated

30

15

4

3

NOTE—The physical product group includes series based on either
monthly or quarterly data. As can be seen in the first line of the table, in
the first month, a physical product indicator is available for about half of
the series (in terms of value added) that ultimately are based on physical
product data (25 percent out of total of 52 percent). Of the 25 percent,
about two-- thirds (17 percent of total IP) include series that are derived
from weekly physical product data and for which actual monthly data may
lag up to several months. On average, quarterly product data are received
for the third estimate of industrial production. Specifically, quarterly data
are available for the second estimate of the last month of a quarter, the
third estimate of the second month of a quarter, and the fourth estimate of
the first month of a quarter. About 3 percent of the source data for
monthly IP—all physical product measures—are available too late for
direct inclusion in the current index and are incorporated at the time of an
annual historical revision.

Seasonal adjustment. Individual series are seasonally adjusted using
Census X-12 ARIMA. For series based on production-worker hours, the
current seasonal factors were estimated with data through September
2005; for other series, the factors were estimated with data through at least
June 2005. Series are pre-adjusted for the effects of holidays or the
business cycle when appropriate. For the data since 1972, all seasonally
adjusted aggregate indexes are calculated by aggregating the seasonally
adjusted indexes of the individual series.
Reliability. The average revision to the level of the total IP index, without
regard to sign, between the first and the fourth estimates was 0.27 percent
during the 1987--2004 period. The average revision to the percent change
in total IP, without regard to sign, from the first to the fourth estimates was
0.21 percentage point during the 1987--2004 period. In most cases (about
86 percent), the direction of change in output indicated by the first
estimate for a given month is the same as that shown by the fourth
estimate.
Rounding. The published percent changes are calculated from unrounded
indexes, and may not be the same as percent changes calculated from the
rounded indexes shown in the release.
CAPACITY UTILIZATION
Overview. The Federal Reserve Board constructs estimates of capacity
and capacity utilization for industries in manufacturing, mining, and
electric and gas utilities. For a given industry, the capacity utilization rate
is equal to an output index (seasonally adjusted) divided by a capacity
index. The Federal Reserve Board’s capacity indexes attempt to capture
the concept of sustainable maximum output—the greatest level of output a
plant can maintain within the framework of a realistic work schedule, after
factoring in normal downtime and assuming sufficient availability of
inputs to operate the capital in place.
Coverage. Capacity indexes are constructed for 85 detailed industries (67
in manufacturing, 16 in mining, and 2 in utilities), which mostly
correspond to industries at the three- and four-digit NAICS level.
Estimates of capacity and utilization are available for a variety of groups,
including durable and nondurable manufacturing, total manufacturing,
mining, utilities, and total industry. Manufacturing consists of those
industries included in the North American Industry Classification System,
or NAICS, definition of manufacturing plus those industries—logging and
newspaper, periodical, book and directory publishing—that have
traditionally been considered to be manufacturing and included in the
industrial sector. Also, special aggregates are available, such as high-tech
industries and manufacturing excluding high-tech industries.
Source Data. The monthly rates of capacity utilization are designed to be
consistent with both the monthly data on production and the periodically
available data on capacity and utilization. Because there is no direct
monthly information on overall industrial capacity or utilization rates, the
Federal Reserve first estimates annual capacity indexes from the source
data. Capacity data reported in physical units from government sources
(primarily from the U.S. Geological Survey and the Department of
Energy’s Energy Information Administration) and trade sources are
available for portions of several industries in manufacturing (e.g., paper,
industrial chemicals, petroleum refining, motor vehicles), as well as for
electric utilities and mining; these industries represent about 21 percent of
total industrial capacity. When physical product data are unavailable for
manufacturing industries, capacity indexes are based on responses to the
Bureau of the Census’s Survey of Plant Capacity (SPC); these industries
account for a bit less than 75 percent of total industry capacity. In the
absence of utilization data for a few mining and petroleum series, capacity
is based on trends through peaks in production (roughly 4 percent of total
industry capacity). A detailed description of the methodology used to
construct the capacity indexes is available on the Board’s web site
(www.federalreserve.gov/releases/G17/cap_notes.html).

18

Aggregation Methodology. Monthly capacity aggregates are calculated
in three steps: (1) utilization aggregates are calculated on an annual basis
through the most recent full year as capacity-weighted aggregates of
individual utilization rates; (2) the annual aggregate capacity is derived
from the corresponding production and utilization aggregates; (3) the
monthly capacity aggregate is obtained by interpolating with a Fisher
index of its constituent monthly capacity series. Utilization rates for the
individual series and aggregates are calculated by dividing the pertinent
monthly production index by the related capacity index.
Consistency. A major aim is that the Federal Reserve utilization rates be
consistent over time so that, for example, a rate of 85 percent means about
the same degree of tightness that it meant in the past. A major task for the
Federal Reserve in developing reasonable and consistent time series of
capacity and utilization is dealing with inconsistencies between the
movements of the industrial production index and the survey-based
utilization rates. The McGraw-Hill/DRI Survey, now discontinued, was
the primary source of manufacturing utilization rates for many years. This
was a survey of large companies that reported, on average, higher
utilization rates than those reported by establishments covered by the SPC
(currently the primary source of factory operating rates) for the fourteen
years they overlapped. Adjustments have been made to keep the industry
utilization rates currently reported by the Federal Reserve roughly in line
with rates formerly reported by McGraw-Hill. As a consequence, the rates
reported by the Federal Reserve tend to be higher than the rates reported in
the SPC.
Perspective. Over the 1972--2004 period, the average total industry
utilization rate is 81.0 percent; for manufacturing, the average factory
operating rate has been 79.8 percent. Industrial plants usually operate at
capacity utilization rates that are well below 100 percent: none of the
broad aggregates has ever reached 100 percent. For total industry and
total manufacturing, utilization rates have exceeded 90 percent only in
wartime. The highs and lows in capacity utilization shown in table 7 are
specific to each series and do not all occur in the same month.
REFERENCES AND RELEASE DATES
References. The annual revision published in November 2005 will be
described in an article published in an upcoming Federal Reserve Bulletin.
A description of the aggregation methods for industrial production and
capacity utilization is included in an article in the Federal Reserve
Bulletin, vol. 83 (February 1997), pp. 67--92. The Federal Reserve
methodology for constructing industry-level measures of capital is detailed
in “Capital Stock Estimates for Manufacturing Industries: Methods and
Data” by Mike Mohr and Charles Gilbert (1996), which can be obtained
at:
www.federalreserve.gov/releases/g17/capital_stock_doc-latest.pdf.
Industrial Production—1986 Edition contains a more detailed description
of the other methods used to compile the industrial production index, plus
a history of its development, a glossary of terms, and a bibliography. The
major revisions to the IP indexes and capacity utilization since 1990 have
been described in the Federal Reserve Bulletin (April 1990, June 1990,
June 1993, March 1994, January 1995, January 1996, February 1997,
February 1998, January 1999, March 2000, March 2001, March 2002,
April 2003, Winter 2004, Winter 2005).
Release Schedule
At 9:15 a.m. on
2005: January 14, February 16, March 16, April 15, May 17, June 15,
July 15, August 16, September 14, October 14, November 17, and
December 15.
2006: January 17, February 15, March 17, April 14, May 16, June 15,
July 17, August 16, September 15, October 17, November 16, and
December 15.