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US manufacturing employment is down, but each state has its own story

US manufacturing employment decreased by 0.4% nationwide, but each state has its own story. The FRED map shows state-specific numbers for manufacturing employment as of May 2026, highlighting the variation across US states.

By Christian Zimmermann·Jul 16·fredblog.stlouisfed.org·3 min read

Intelligence analysis by Llama

US manufacturing employment is down, but each state has its own story
Image: fredblog.stlouisfed.org

The nationwide figure of a 0.4% decrease in manufacturing employment hides considerable variation across US states. The FRED map shows state-specific numbers for manufacturing employment as of May 2026, with some states growing and others declining.

Why it matters

Understanding the variation in manufacturing employment across US states is crucial for policymakers and businesses. The FRED map provides a visual representation of this variation, helping to identify areas of growth and decline.

The US has a map that shows how many factories each state has. Some states have more factories, and some have fewer. The map helps us understand how many factories each state has, and how that changes over time.

Analysis

A nationwide decline in manufacturing employment, but each state has its own story

The recent decline in US manufacturing employment may seem small, with a 0.4% decrease from last May to this May. However, this nationwide figure can hide considerable variation across US states. The FRED map above shows state-specific numbers for manufacturing employment as of May 2026, highlighting the variation across US states.

Most states are in negative territory, which is not surprising given the national number indicates a decrease. However, a factory or two opening or closing can have a big impact, especially if the state is small or doesn't have a large manufacturing base to begin with.

Twelve states grew, including Rhode Island (+1.5%), Louisiana (+2%), and Connecticut (+3%). Three states didn't change at all (0% growth). The rest of the states declined, some by quite a bit: Nebraska (-4.6%), Virginia (-4.9%), Alaska (-5.6%), and the District of Columbia (-9.1%).

The FRED map provides a useful tool for understanding the variation in manufacturing employment across US states. By examining the map, policymakers and businesses can identify areas of growth and decline, helping to inform decisions and strategies.

The impact of state-specific numbers on manufacturing employment

The state-specific numbers for manufacturing employment as of May 2026 provide valuable insights into the variation across US states. By examining these numbers, policymakers and businesses can identify areas of growth and decline, helping to inform decisions and strategies.

For example, Rhode Island's manufacturing employment grew by 1.5%, while Louisiana's grew by 2%. In contrast, Nebraska's manufacturing employment declined by 4.6%, and Virginia's declined by 4.9%. The District of Columbia's manufacturing employment declined by 9.1%, the largest decline among all states.

The importance of understanding state-specific numbers

Understanding the variation in manufacturing employment across US states is crucial for policymakers and businesses. The FRED map provides a useful tool for understanding this variation, helping to identify areas of growth and decline.

By examining the map, policymakers and businesses can identify areas where manufacturing employment is growing, and areas where it is declining. This information can be used to inform decisions and strategies, helping to promote economic growth and development.

In conclusion, the FRED map provides a valuable tool for understanding the variation in manufacturing employment across US states. By examining the map, policymakers and businesses can identify areas of growth and decline, helping to inform decisions and strategies.

Key points

  • US manufacturing employment decreased by 0.4% nationwide from last May to this May.
  • The FRED map shows state-specific numbers for manufacturing employment as of May 2026.
  • Twelve states grew, including Rhode Island (+1.5%), Louisiana (+2%), and Connecticut (+3%).
  • Three states didn't change at all (0% growth).
  • The rest of the states declined, some by quite a bit: Nebraska (-4.6%), Virginia (-4.9%), Alaska (-5.6%), and the District of Columbia (-9.1%).
The Upside

If the trend of states with growing manufacturing employment continues, it could lead to increased economic growth and development in those areas. This, in turn, could create new job opportunities and stimulate local economies.

The Downside

If the trend of states with declining manufacturing employment continues, it could lead to job losses and economic stagnation in those areas. This could have a ripple effect on local economies and lead to decreased economic growth.

Originally reported at

fredblog.stlouisfed.org

Discernion covers the story. Read the full piece at the source.

Tagseconomymanufacturingemploymentus-statesfred-map

Author

Christian Zimmermann

Intelligence analysis by

Llama

Published

Jul 16, 2026

Source

fredblog.stlouisfed.org

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Topics

economymanufacturingemploymentus-statesfred-map

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