Show an ad over header. AMP

Factories are having a hard time keeping up with orders

The manufacturing sector has bounced back from its pandemic knockout. But as the economy reopens, factories can't keep up with orders.

Why it matters: The materials manufacturers need are hard to find and prices for them are soaring.

  • The shortages could delay orders for companies relying on them, while the price surges could ripple out to the consumer.

Stunning stat: An important gauge of manufacturing activity in America matched the highest level in 17 years last month, a closely eyed survey by the Institute for Supply Management showed Monday.

Context: Last April — at the onset of the pandemic — the industry was in the worst shape since the global financial crisis.

  • The biggest winners since then: food and beverage manufacturers, along with makers of computers, chemicals and metals.
  • Losers: petroleum and coal manufacturers — the only sector to contract last month.

Yes, but: Material shortages could prevent factories from making good on the surge in orders.

What they're saying: “Everything is a mess, and we are seeing wide-scale shortages," one appliance and electrical equipment maker said.

Plus: Factories have increasingly reported paying more for materials, with the latest data showing manufacturers paying the most since 2008.

What's going on: Companies are "not able to have as many people at the sawmills or as many people in the foundries making steel" because of COVID-19 work restrictions, leading to manufacturers' shortages, Ben Ayers, an economist at Nationwide, tells Axios.

What to watch: The problems come as the Biden administration prioritizes revitalizing the sector and boosting jobs — promises made by his predecessor.

Super League faces collapse after all 6 English soccer teams quit elite contest

The European Super League announced in a statement Tuesday night it's considering its future and "proposing a new competition" after all six English clubs pulled out of the breakaway tournament.

Why it matters: The announcement that12 of soccer's richest clubs' from England, Spain and Italy would start a new league was met with backlash from fans, soccer stars and politicians. The British government had threatened to pass legislation to stop it from going ahead.

Keep reading... Show less

Corporate America begins to see fallout after wading into politics

Corporate America is finding it can get messy when it steps into politics.

Why it matters: Urged on by shareholders, employees and its own company creeds, Big Business is taking increasing stands on controversial political issues during recent months — and now it's beginning to see the fallout.

Keep reading... Show less

Church shelters call out U.S. for expelling migrants when they have capacity

Despite the separation between church and state, the federal government depends upon religious shelters to help it cope with migration at the U.S.-Mexico border.

Why it matters: The network supports the U.S. in times of crisis, but now some shelter leaders are complaining about expelling families to Mexico when they have capacity — and feel a higher calling — to accommodate them.

Keep reading... Show less

Derek Chauvin's guilty verdict in the murder of George Floyd is the rare officer conviction

Derek Chauvin, the former Minneapolis police officer who was shown kneeling on George Floyd's neck last year in a video that shook the nation, was found guilty of murder and manslaughter on Tuesday.

Yes, but: Eight years after the launch of the Black Lives Matter movement, it's still rare for police officersto face legal consequences or jail time over the deaths of Black people.

Keep reading... Show less

Senate confirms Lisa Monaco as Justice Department's deputy attorney general

The Senate voted 98-2 on Tuesday to confirm Lisa Monaco as deputy attorney general for the Justice Department, making her the agency's second highest-ranking official.

Why it matters: Monaco is expected to play a key role in Attorney General Merrick Garland's pledge to crack down on violence from domestic extremist groups, including the department's sweeping investigation of the deadly Jan. 6 Capitol riot.

Keep reading... Show less

Minneapolis reflects on Chauvin verdict as a step toward healing and calm

A growing crowd outside the Hennepin County Government Center broke out into cheers, hugs and tears of relief as word of the Derek Chauvin verdict spread just after 4pm CST.

Catch up quick: Eleven months after George Floyd died under the former Minneapolis police officer's knee, a jury of 12 neighbors returned a guilty verdict on all three counts.

Keep reading... Show less

"Painfully earned justice has finally arrived for George Floyd’s family": Nation reacts to Chauvin verdict

America is speaking out after the jury in Derek Chauvin's trial announced its guiltyverdict after about 10 hours of deliberation.

What they're saying...

Ben Crump, Floyd family lawyer: "GUILTY! Painfully earned justice has finally arrived for George Floyd’s family ... Justice for Black America is justice for all of America!"

Keep reading... Show less

Derek Chauvin found guilty of all 3 charges in George Floyd's death

A jury on Tuesday found former Minneapolis police officer Derek Chauvin guilty of second-degree murder, third-degree murder and second-degree manslaughter in George Floyd's death.

Why it matters: This rare conviction of a police officer may come to be seen as a defining moment in America's collective reckoning with issues of race and justice.

Keep reading... Show less



Get Goodhumans in your inbox

Most Read

More Stories