April 17, 2026 - According to the latest report from the Federal Reserve, industrial production – that is, the physical output of the manufacturing, mining and utility sectors – declined by 0.5 percent in March, including a 0.1 decline in manufacturing output.

Mining output declined by 1.2 percent in March, and utilities production was down by 2.3 percent.

It’s worth noting that after manufacturing production performed poorly during the final four months of 2025, it picked up during the first two months of this year, experiencing growth of 0.6 percent in January and 0.4 percent in February.

Source: Federal Reserve Bank of St. Louis, FRED

The Fed explained:

“Manufacturing output ticked down 0.1 percent. In March, a decrease of 0.2 percent in the production of durable goods reflected weaker output of motor vehicles and parts, which fell 3.7 percent, as well as declines in the output of primary metals, machinery, and furniture and related products. Nondurable manufacturing output edged down 0.1 percent, with more industry groups posting losses than posting gains. In particular, only the indexes for petroleum and coal products, for plastics and rubber products, and for paper increased, while all other nondurable indexes decreased.”

So, while the March manufacturing decline was broad based, hopefully, we’ll see a return to growth in the coming months. However, assorted uncertainties, including those tied to the Iran war, will serve to dampen investment and production.