IE Business Daily Business news for the Inland Empire.
Inland Empire manufacturing continued to grow during January, although at a slower rate than it has grown recently.
The region’s purchasing manager index for the first month of 2022 was 51.0, down from 55.5 and barely above the 50 benchmark that determines growth or retraction, according to data released Tuesday by the Institute of Applied Research and Policy Analysis at Cal State San Bernardino.
Despite that slip, the index has remained at 50 or higher for 17 consecutive months, meaning the Inland manufacturing sector – and the Inland economy – have been growing for that length of time.
“But with inflation on the rise, difficulties hiring skilled and unskilled labor, employees out sick due to Omicron, and supply chain disruptions causing problems on the national and local levels, downward trend of the purchasing managers index is of some concern for the Inland Empire,” the report states.
Production, new orders, inventory and supply deliveries dropped between December and January. The cost of materials went up and employment remained the same during that time.
Fifteen percent of the purchasing managers surveyed said they expect the Inland economy to get better during the next three months, while 50 percent said expect to remain where it is now. Thirty five percent said they expect the local economy to get weaker during that time.
