05.01.202615:00:00UTC+00U.S. Manufacturing PMI Falls to 47.9 in December, Signaling Continued Contraction

The ISM Manufacturing Purchasing Managers' Index (PMI) for the United States experienced a slight decline in December 2025, as reported on January 5, 2026. The index fell to 47.9, down from 48.2 in November 2025, highlighting a further contraction in the manufacturing sector. This marks the second consecutive month the PMI has remained below the 50 threshold, indicating a continued slowdown in manufacturing activity.

The recent figures suggest ongoing challenges in the manufacturing sector, including supply chain disruptions and slowing demand, as economic uncertainty weighs heavily on production output. The drop, albeit modest, points to a cautious start to 2026 for U.S. manufacturers, who are navigating an environment marked by fluctuating consumer confidence and potential policy changes.

Manufacturers and market analysts will be keeping a close watch on future PMI trends as indicators of broader economic health and potential shifts in monetary policy. The December reading sends a clear message for stakeholders to strategize around these evolving challenges while waiting for signs of stabilization or recovery in the months ahead.