Despite ongoing economic uncertainty, the Federal Reserve revealed on Tuesday that U.S. manufacturing is experiencing growth.
F.B. data shared indicates a 0.2% rise in manufacturing production in July compared to the prior month. This marks the seventh month of consecutive increases, which has stirred debate, particularly in light of Trump’s remarks on the economy. (Related: Wall Street banks fight with crypto bros over billing for keys)
However, Stephen Ratner, a Wall Street financier and former leader of Obama’s auto task force, criticized this uptick as insufficient, highlighting a failure to meet the president’s campaign commitments. He stated this claim in a guest editorial published in the New York Times on Tuesday.
Bringing jobs home was a core of President Trump’s campaign promise.
But the data shows little progress toward that goal. Factory employment peaked under the Biden administration and has declined by more than 60,000 jobs since President Trump took office.
Please see my editorial for more details @nytopinion: https://t.co/mE6S9ZNmph pic.twitter.com/LL1nNEabpu
— Steve Rattner (@SteveRattner) August 19, 2026
“When it comes to the economy, the initial 19 months of Trump’s second term are more accurately described as ‘promises broken,'” Ratner remarked. “Many promises kept have caused as much damage as critics anticipated.”
He elaborated that since Trump’s promises and the Biden administration’s “ambitious industrial investment,” manufacturing jobs have dropped by 62,000. Ratner noted that Trump hasn’t upheld his assertion in his second inaugural address that “America will become a manufacturing nation again.”
Yet, while manufacturing jobs seem to be decreasing, the output is actually rising.
Industrial production in July increased by 0.2% from the previous month, following the upward revision made in June, and by 1.1% compared to last year. The capacity utilization rate also saw a boost, up by 0.1 percentage point from the month before and 1.2 percentage points year-over-year. 2025 was a rough year, but the current data suggests a more positive outlook for 2026. pic.twitter.com/2PnL3FG7Az
— Dr. EJ Antoni (@RealEJAntoni) August 18, 2026
Alan Tonelson, an economist affiliated with the U.S. Business and Industry Council Educational Foundation, pointed out that the nation’s manufacturing output has now risen for seven months in a row, which is the longest continuous growth since nine months between 2006-2007.
Tonelson remarked that despite Trump’s pro-tariff position, manufacturing actually grew during his second term, highlighting a widening gap between his administration and the final months of Biden’s.
“While these Fed results don’t indicate that the domestic industry is in a booming state,” Tonelson cautioned, “the current winning streak, the longest in nearly two decades, could indicate a positive starting point.”
President Trump’s trade agenda is to rebuild America’s manufacturing base, expand industrial production, and advance the interests of American workers. pic.twitter.com/kHSTOPkjnN
— Office of the United States Trade Representative (@USTradeRep) August 18, 2026
Nonetheless, the U.S. Trade Representative acknowledged the positive news, stating in a post on X: “President Trump’s trade agenda aims to rebuild America’s manufacturing base, enhance industrial production, and support American workers.”
Moreover, the office noted the addition of over 15,000 factory construction jobs in July, asserting that the president’s trade policy aims to restore wages lost during the Biden administration. (Related: Uncle Sam brought home bacon last month. But there’s a catch.)
USTR also informed the Daily Caller that Ambassador Jamieson Greer visited U.S. manufacturers in Colorado, Utah and Iowa. The goal was to “discuss how President Trump’s policies, especially the tariff program, are raising wages and bringing jobs and production lines back to the U.S.”
