The United States has just received its last sign of a slowdown in the manufacturing sector



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metallurgical workerSean Gallup / Getty Images

  • New orders for goods manufactured in the United States declined in February after barely increasing the previous two months.
  • The latest data point to a slowdown in activity in the manufacturing sector, which, according to economists, could enter a mild recession this year.
  • Economists say the slowdown is partly due to the easing of stimulus measures, but trade tensions have not helped.

New orders for products manufactured in the United States fell in February, the latest sign that the manufacturing sector is losing momentum in the face of global trade tensions and the general slowdown in the economy.

Factory orders fell $ 2.6 billion, or 0.5%, the Commerce Department announced Monday, in line with the economist's expectations. They have fallen in four of the last five months.

The decrease is largely attributable to the slowdown in the transportation sector. After three months of increases, transportation equipment orders fell 4.5% in February to $ 86.2 billion.

Shipments of products manufactured in the United States increased in February after falling for four consecutive months. In January, they slipped 0.4% in the longest series of declines since 2015.

Economists believe that the manufacturing sector, which accounts for about one-tenth of economic activity, could enter a mild recession this year. In March, the United States cut 6,000 jobs in the manufacturing sector after almost two years of steady growth.

The US economy is expected to grow much more slowly over the coming months, with first quarter GDP estimates ranging from 1% to 2%.

This slowdown is partly explained by the reduced effects of stimulus measures, including the $ 1.5 trillion reduction in tax cuts imposed on the United States in 2017, but trade tensions between the states. And their major trading partners have not helped.

Last year 's tariffs in the context of the unfair crackdown on trumpy commercial practices by the Trump administration resulted in increased costs for businesses, reduced access to foreign markets and increased costs. a disruption of the supply chains.

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