TEMPE, AZ – Economic activity in the manufacturing sector expanded in March for the fourth consecutive month, says the Institute for Supply Management.

The PMI for March was 51.3%, down 2.9 percentage points. New orders were down 6.4 percentage points to 51.4%, while production dropped 5.4 points to 52.2%. Inventories were 49.5%, down 2 percentage points, and customer inventories were up 1 point to 47.5%. Backlogs dropped 4 percentage points to 51%.

“The PMI registered 51.3%, a decrease of 2.9 percentage points from February's reading of 54.2%, indicating expansion in manufacturing for the fourth consecutive month, but at a slower rate. Both the New Orders and Production Indexes reflected growth in March compared to February, albeit at slower rates, registering 51.4 and 52.2%, respectively. The Employment Index registered 54.2%, an increase of 1.6 percentage points compared to February's reading of 52.6%. The Prices Index decreased 7 percentage points to 54.5%, and the list of commodities up in price reflected far fewer items than in February. In addition, the Backlog of Orders, Exports and Imports Indexes all grew in March,” said Bradley J. Holcomb, chair of ISM.

The overall economy grew for the 46th consecutive month, says ISM.