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FEDERAL RESERVE statistical release
G.3 (402)

For Immediate release

CAPACITY UTILIZATION
Manufacturing, Mining, Utilities, and Industrial Materials

July 16, 1984

Capacity utilization in manufacturing, mining, and utilities
advanced 0.2 percentage point in June to 81*7 percent, the highest level
since July 1981* The operating rate for manufacturing, following a downward
revised increase of 0.6 percentage point in April, rose 0.1 percentage point
in both May and June and reached 81.8. percent in the latter month. The
operating rate for mining increased more rapidly, advancing 0.8 percentage
points in June as activity picked up in coal mining and oil and gas well
drilling. The rate of utilization at electric utilities rose 1.3 percentage
point in June, in part because of more than seasonal use of air conditioning.
Within manufacturing, the utilization rates for durable manufacturing
rose 0.3 percentage point to 81.3 in June. Operating rates for motor vehicles,
other transportation equipment, and nonelectrical machinery advanced while
the rate for steel declined. The utilization rate for nondurable manufacturing
was unchanged in June, following a small increase of 0.1 percentage point in
May; operating rates in the paper and textile industries have declined, but
those for rubber and plastics have increased further.
The operating rate for producers of industrial materials was up
0*2 percentage point in June to 82.9 percent, in part because of a substantial
increase in the rate of energy materials.

Capacity Utilization: Summary
Percent of capacity, seasonally adjusted
Series

1973
HIGH

1975
L W
O

1978
-8 0
HIGH

LOW

*-

1967
-82
AVER.

1984
HAS

APB

|

HAY

JUNE

88.4

71.1

87.3

69. 6

82. 4*

80.9

81.4

81.5

8U7

Manufacturing
Durable
Nondurable

87.9
87.9
89.1

69.0
67.6
71.0

87.5
89.4
87.2

68. 8
64. 8
73. 8

81.8.
80.5.
83.9.

81.0
80.4
81.8

81.6

80.9
82.3

81.7
81.0
82.4

81.8
81.3
82.4

Mining
Utilities

91.8
94.9

86.0
82.0

90.4
86.8

69. 6
79. 0

86.5.
88.6.

74.7
84.0

74.2
85.1

75.1
84.7

75.9
85.8

92.6

69.3

88.9

66. 6

83.3.

82.2

82.7

82.7

82.9

Total Industry




CAPACITY UTILIZATION

JUNE DATA

SEASONALLY ADJUSTED, PERCENT

110
TOTAL INDUSTRY
TOTAL MATERIALS
90

70

50
110

MINING

UTILITIES

90

\ / MANUFACTURING

70

50
110
MANUFACTURING

REFINED PETROLEUM
PRODUCTS
90

NONDURABLE

70

50
110
MOTOR VEHICLES
AND PARTS
90

70

50

30
1969




1972

1975

1978

1981

1984

1969

1972

1975

1978

1981

1984

MANUFACTURING MINING AND UTILITIES
Table 1

Capacity Utilization
Monthly, seasonally adjusted, percent of opacity
Series

WTT 197T
HIGH

Total Industry

LOB

19?8 I
-80
|
HIGH I

194?
-82
AfER.

YEAH |
AGO 1_ .1983
RORTHj OCT

DEC |

71.1

Durable manufacturing
Storm, clay and glass products
Iron and steal, subtotal
Nenfsrrous metals, subtotal
Fabricated matal products
Nonelectrical machinery
Electrical machinery
Motor vehicles and parts
Autos
A$r@®pace and misc. trans, eqp.
instruments
Nondurable manufacturing
Fooda
Textile mill products
Paper and producta
Chemicals and products
Petroleum products
Rubber and plastics products

Utilities
Electric utilities

82.4

74.8

78.7

69.0

87.5

£3.8

81.8

74.9

78.9

78.8

93,7
85.5

68.2
69.4

91.4
85.9

66.2
70.0

84.0
80.6

75.7
74.4

80.4
77.9

80.0
78.0

87.9
88.0
103.3
99.0
86.3
88.3
88,7
98.7
H
A
76.0
89.6

67.6
64.0
69.2
60.8
65.7
71.8
62.3
51.3
N
&
68*0
73.7

89.4
90.4
97.5
98.2
90.0
83. 1
90.6
94.5
91.6
93.9
92.3

64.8
63.0
38.8
62.1
60.7
61.6
74.7
46.1
35.8
69.1
73.1

80.5
78.4
82.3
83.8
79.6
79.8
80.0
78.6
MA
78.1
83.5

71.8
70.6
58.0
75.4
66.6
65.4
81.2
70.8
70.5
67.9
72.8

76.5
75.3
70.2
77.5
71.0
69.1
87.5
79.0
77.2
69.6
75.5

76.8
75.6
66.0
77.7
71.7
70.0
88.0
80.2
77.1
70.6
75.4

89.1
85.7
95,4
96.7
86.2
99.1
97.4

71.0
77.2
61.3
69.1
65.9
84.6
62.1

87.2
85.2
91.3
95.1
83.6
93.0
91.5

73.8
76.5
73.0
84.2
64.0
71.5
74.0

83.9
83.3
86.2
89.6
78.7
89.6
88.3

78.7
79.2
86.8
92.3
69.8
75.6
87.2

81.8
78.3
91.2
96.8
73.4
76.5
91.9

81.3
77.9
89.4
97.0
72.3
77.8
91.3

91.8

Primary processing
Advanced processing

69.6

87,9

Manufacturing

87.3

86.0

90.4

69.6

86.5

68.1

71.5

73.2

94.9
97.6

82.0
82.1

86.8
81.0

79.0
77.9

88.6
89.8

80.8
79.4

83.3
82.1

83.0
81.7

78-7

1984
JAR

APB

HAY

79.0|

80.1

80.7

80.9

81.4

81.5

81.7

78.9|
I
79.2|

80.1

80.9

81.0

81.6

81.7

81.8

80.6
80.0

82.2
80.4

82.2
80.6

82«£
81.0

82.6
81.1

82.5
8L2

79.2
77.9
67.6
77.8
73.4
73.2
89.9
87.1
83.6
71.7
77.4

80.1
79.0
72.3
81.2
73.9
73.7
91.1
86.1
83.3
73.1
77.7

80.4
78.7
71.3
31.6
74.9
74.0
91.4
86.6
84.1
72.9
78.0

60.9
79.1
71.5
85.3
75.3
75.4
§1.8
84.4
79.2
73.6
78.5

81.0
79.1
71.0
83.4
76.1
75.9
91«7
84.7
77.9
?3.9
78.7

81.3

76.7
76.7
91.6
85.7
79.6
74.7
78.9

81.1
78.7
88.0
96.7
70.7
73.9
93.0

81.8
78.8
86.9
99.0
71.6
79.5
93.1

81.8
79.1
87.4
97.1
71.6
79.3
94.0

82.3
79.8
86.0
96.5
72.6
80.0
94.3

32.4

82.4

85.7
95.4
72.6
81.2
94.8

75.4

74.9

74.7

74.2

75.1

75.9

84.8
84.0

82.5
81.0

84.0
82.6

85.1
83.7

84.7
83.1

85.8
84.4

78.6|
I
77.4|
76.0|
61.91
80.5|
72.0|
71.0|
88.21
83.3|
81.7|
71.1-1
76.0|
I
80.71
78.01
88.81
95.7|
70.7|
71.11
92.5|
74.7|
I
85.7|
84.7|

JO KB

81.1

Table 2

Output, Capacity, and Capacity Utilization
Quarterly, seasonally adjusted
OUTPUT
Series

1983
II

Total Ma4i®tvy

144.5

Manufacturing

145.2

III

If

CAPACITY
1984
I

i
III1

1983
II

1 5 1 . 8 155.5S 1 5 9 . 8 162.91 195.5
!
I
152.8 156.51 161.0 164.2« 196.6

145.2
145.1

152.8
152.6

156.41 160.5
156.1| 161.7

131.1
139.7
69.2
111.2
116.4
146.2
179.9
130. 7
103. 5
93.1
155.7

139.1
148.5
75.0
110.9
125.4
156.6
191.1
145.8
132.3
99.2
161.5

143.8g
152.8J
79.21
116.61
128.23
161.81
200. 01
154.21
132.11
103.01
163.51

150.2
159.5
83.7
119.0
133.1
170.8
209.4
165.5
141.2
106.3
168.7

165.5
155.7
139.3
160.5
211.4
122.5
288.3

172.7
159.1
147.6
168.0
220.9
124.2
304.6

176.7
160.2
143.2
174.2
223.8
124.5
319.8

116.1

174.81
157.51
146.51
171.21
225.01
121.11
311.4|
4
121.01

153.4|
I
i
I
137.31
176.71
215.3f
163.4|
134.51
109.71
171.81
1
179.8J

112.3

Primary processing
Advanced processing

162.7! 194.8
164.7J 197.6

169.6
192.5

178.2
203.6

III

Bectrlcal machinery
Motor vehicles and parts
Aerospace and misc. trans, eqp.
Nondurable manufacturing
Textile mill products
Paper and products
Chemicals and products
Petroleum products
Rubber and plastics products

Electric utilities




124.2

178.41 179.2
203.01 203.8

UTILIZATION
1983
II

78.3
76.9

70.7
69.7
57.6
74.9
65.5
64.1
80.3
67.8
65e2
68.0
72.8

74.7
73.8
62.5
74.7
70.3
68.2
84.7
76.1
78.8
68.3
75.1

77.8
78.3
85.3
91.0
68.9
75.2
85.6

80.7
79.5
90.4
95.0
71.4
76.6
90.2

165.91

67.9

70.2

73.1|

75.0

75.1

212.4| 213.8 215.31
244.9} 246.9 248.9f

80.8
79.8

84.4
83.6

84.0|
82.81

83.8
82.5

83l &

195.3
198.6

124.6| 165.3 165.4
211.1
243.0

II

74.6
73.5

195.81
199.7J
1
166.81
201.91
120.11
148.41
179.01
231.0|
227.4|
190.71
167.8|
146.3|
216.21
I
215.01
201.7|
163.01
177.4|
312.1}
161.3!
338.5|

213.9
200.2
163.2
176.9
309.4
162.1
337.7

1984
I

196.5
201.1

198.4|

212.8
198.7
163. 4
176.4
306.8
128.8J 163.0
336.8

If

78.8J 80.5
1
78.9!
80.7
1
81. 7
79.9|
78.2|
80.3
I
79.9
76.9|
75.71 78.5
70.4
66.0|
80.2
78.6|
71.61 74.0
•73.6
70.0!
90. 8
87.9|
80.81 86.6
78.71 83.6
•12.6
70.4|
77.7
75.7!
I
81.31 81.
78.11 78.
87.
89.8|
96.51 97.
72.1g 71.
77.
75.1|
93.4
91.9|

197.5

186.1
201.1
120.1
148.4
178.3
229.6
225.7
191.7
167.8
145.2
215.1

III
77.3

197.3J 198.4

185.4
200.4
120.1
148.4
177.6
228.1
224.1
192.7
167.8
144.2
214.1

183.51 209.8
208.51 241.1

I
I
118

199.7| 73.9
i
199.5 201.01 73.3

196.4

1
Durable manufacturing
Stem, day and glass products
Iron and steel, subtotal
Monferrous metals, subtotal
Fabricated metal products

If

1984
I

187.8
203.0
119.0
148.4
179.8
232.0
230.4
190.9
168.7
147.2
217.1
216.5
203.1
163.7
178.5
314.0
160.4
342.3

165.51 165.7

197.21
203.0g
I
I
180.6|
232.6|
234.91
192.3|
170.5|
148.1!
217.91
I
218.21

159.4|

77.4

81.5
81.7
82.5
81.1
61.1

76.0
76.0
91.7
85.0
78.9
74.1
73.6
82.4

80.8

INDUSTRIAL MATERIALS
Tabled
Monthly, seasonally adjusted, percent ot capacity
1973 I 1975 | 1978 | 1982 | 1967 I TEAS
HIGH | LOtt I - 8 0
I LOB » I - 8 2
1 AGO .! 198?
Series
| HIGH
| AVER. | BOOTH | OCT |
1
... .
92.6 | 6 9 . 3
| 66.6 | 83.3 j 7 4 , 4 | 7 9 . 5
|1 88.9
1
1

1
59.8 I 7 9 , 7 I 7 0 . 0 t 7 6 . 1

1
UOV |
79.6

DEC |
1
79. 61
1

1984
JAM |

PEE |

NAB |

APR 1

BAT |

JUNE

80.6

81.9

82.2

82.7

82.7

82.9

91.4

| 63.5 | 88.4

76.5

77.0|

78.5

80.5

80.7

81.6

81.5

81.7

Metal materials

97.8

68.0 | 95.4

46.2 I 82.2

61.2

68.0

66.8

66.8|

67.3

71.1

71.5

73.0

71.8

70.8

Raw steel
Aluminum

107.1
96.8

68.0 1102.9
73.4 ! 97.9

40.2 I 84.8
57.9
90.6

58.2
64.5

67.5
75.1

68.6
76.0

70.0
79.8

74.0
82.0

72.6
84.3

74.5
85.7

74.2
87.0

94.4

67.4

70.7

i 86.5

79.6

84.1

83.8

95.1

65.4

92.3 | 68.6

86.5

79.2 !

84.1

83.7

73.8|
79.0|
1
1
81.6|
I
81.2|

99.4
72.4
95.5 i 64.2

97.9 I 86.3
91.3 | 64.0

99.4
79.7

101.3
79.0

84.4

88.9 | 78.5

93.4
93.1 |
85.1 | 75.3 |
I
I
88.5 | 78.8 |
J

81.4

81.8

Durable goods materials

Nondurable goods materials
Textile, paper, and chemical materials
Paper materiais
Chemical materials

i

94.5

Energy materials

i 91.7

81.9

83.0

83.6

83.4

83.6

83.6

81.5

82.8

83.1

82.9

83.1

83.1

98.8|
76.2|
1

99.3
76.7

99.0
78.6

96.8
79.5

98.5
79.0

97.0
79.5

83.6|

84.4

84.1

84.1

84.7

84.5

III

1983
II

III

85.4

Table 4

Utilization
Quarterly, seasonally adjusted
OUTPUT
Series

1983
11

III

141.7
.Durable goods materials

149.9

134.7

144.2

Metal materials

84.9

89.3

Raw steel
Aluminum

68.7
105. 1

72.7
119.0

171.7

179.1

Nondurable goods materials
Textile, paper and chemical materials
Paper materials
Chemical materials
Energy materials

179.6

188.0

153.4
219.4

162.3
227.8

121.5

127.4

1984
I

IV

UTI&IZATIOV
1984
I

1984
I

II

193.4

194.0| 194.7
I

195.91

73.5

77.5

79.6| 81.6
1

82.8

196.0

196.5| 197.1

73.6

76.5|

139.8

60.7

63.9

84.5
137.5

119.1
167.7

118.8
167.7

57.7
62.7

61.2
70.9

186.7| 218.8
I
196.3| 230.7

219.6

139.6| 139.1
I
117.1
167^71 167.7
I
I
220.6J 221.8
I
232.7| 234.2
167.7| 168.5
300.1| 302.3
I

198.3|
I
138.5|

68.9

97.3

161.91 195.6
I
99.5| 139.9

223.4

78.5

81.5

77.9

81.2

155.3J 155.8

156.4J

157.6

183.7
193.2
165.8
2 36.7
131.2

162.2|

III

231.6

i 166.1 166.9
| 296.6 298.3
I
I
132.8| 154.3 154.7

Definition. This release contains estimates of output, capacity, and capacity utilization for the
nation's factories, mines, and electric and gas utilities. Estimates of actual output and capacity output are expressed as percentages of 1987 actual output. Estimates of capacity utilization
are calculated as ratios, In percent, of the Federal Reserve's seasonally adjusted indexes of industrial production to the indexes of capacity. The capacity Indexes are based on a variety of
data, including capacity data in physical units, surveys of capacity growth and utilization rates,
and estimates of capital stock growth. Instead of a formal definition of capacity the concept of
prsctfeal capacity Is applied, which is the greatest level of output that a plant can maintain
within the framework of a realistic work pattern, taking account of normal downtime, and
assuming sufficient availability of Inputs to operate machinery and equipment in place. When
th® capacity Indexes for Individual Industries are aggregated—for example to total manufacturing—no explicit account Is taken of possible general equilibrium constraints such as emerging
Industry bottlenecks.
Qwuptim. Estimates of capacity and Industrial production for manufacturing mdusfrlei anT
aggregated to primary processing and advanced processing Industries, to durable and nondurable manufacturing Industries, and to total manufacturing. The mining, manufacturing, and
utilities estimates aggregate to the total Index. Industrial materials are Items produced and used as inputs by manufacturing plants, mines, and utilities. Industrial materials Include many of
the Items Included In the primary processing grouping of manufacturing, as well as some of the
output of the advanced processing Industries, mines, and utilities—such as Iron ore, crude oil,
semiconductors, and electricity sold to Industry.




CAPACITY

1983
11
192.9

I

154.31 158.8

I
I
150.3|
I
93.8|
I
82.8|
128.6|
I
I
183.5|
I
193.2|
I
167.4|
235.0|
I
I
127.8|

I
1
III
1

IV

IV

I
79.9

81.6

67.2|

70.0

71.9

69.9|
76.7|

72.2
82.0

I

I

236.21

92.3
74.0

97.5
76.4

78.7

82.3

I
83.21
I
83.0|
99.8|
78.3J
I
I
82.J|

82.8

83.5

82.5

83.0

98.4
78.3
84.2

84.9

Perspective. The historical highs and lows in capacity utilization shown in the tables above are
specific to each series and did not all occur In the same month, 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 mining, manufacturing, and utilities as a whole, and
for total manufacturing, utilization rates as high as 90 percent have been exceeded only in wartime.
Revisions. The first estimates for a month are published about the 17th of the following month.
These estimates may revise In each of the next three months as new data become available.
After the fourth month no further revisions are undertaken until an annual or benchmark revi
slon. The median of the revisions in the total manufacturing utilization rate between the first
and fourth estimate Is 0.3 of a percentage point; the! is, in about half of the cases, the absolute
value of the revision from the first to the fourth estimate is less than 0.3 of a percentage point.
Sources. The methodology used to estimate the series is discussed In New Federal Reserve
Measures of Capacity and Capacity Utilization, Federal Reserve Bulletin, July 1963. Revised
data from 1967-82 are Included In the statistical supplement to the July 1983 capacity utilization release, which may be obtained from Publications Services, Board of Governors of the
Federal Reserve System, Washington, D.C. 20551.
Rounding. The rounding algorithms applied to the capacity, output, and utilization rate series
are independent. Aggregates are derived from unrounded detailed components.
Release schedule for 1904. Approximately 11 a.m. on February 16, March 16, April 16, May 16,
June 18, July 16, August 16, September 17, October 17, November 16, and December 17.