{"id":1053066,"date":"2025-06-02T13:30:03","date_gmt":"2025-06-02T17:30:03","guid":{"rendered":"https:\/\/democrats.org\/?p=1053066"},"modified":"2025-06-02T13:30:04","modified_gmt":"2025-06-02T17:30:04","slug":"trump-shrinks-manufacturing-for-third-straight-month","status":"publish","type":"post","link":"https:\/\/democrats.org\/news\/trump-shrinks-manufacturing-for-third-straight-month\/","title":{"rendered":"Trump Shrinks Manufacturing for Third Straight Month\u00a0"},"content":{"rendered":"\n
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In response to <\/em>new<\/em><\/a> <\/em>reports<\/em><\/a> on Donald Trump\u2019s failing economy,<\/em> DNC Chair Ken Martin released the following statement:<\/em><\/strong><\/p>\n\n\n\n

\u201cFor the third straight month under Donald Trump, manufacturing shrank, prices rose, and Americans lost their jobs. Instead of helping working families like he promised, Trump instead pushed his congressional lackeys to gut food assistance, rip away health care, and slash rental assistance \u2014 all to fund another round of tax handouts for the ultra-wealthy. Come 2026, Trump and the GOP will pay for their disastrous agenda at the ballot box.\u201d <\/p>\n\n\n\n

NEW REPORTS: For the third straight month, Trump\u2019s failing economic agenda shrank manufacturing, as prices rose, hardworking Americans lost their jobs, and economists warn of looming shortages. <\/strong><\/p>\n\n\n\n

Institute For Supply Management<\/a>: \u201cEconomic activity in the manufacturing sector contracted in May for the third consecutive month \u2026<\/strong> <\/p>\n\n\n\n

\u201cThe New Orders Index contracted for the fourth month in a row<\/strong> following a three-month period of expansion \u2026 <\/p>\n\n\n\n

\u201cThe Prices Index remained in expansion (or \u2018increasing\u2019) territory \u2026<\/strong> <\/p>\n\n\n\n

\u201cThe Imports Index plunged into extreme contraction<\/strong> in May, registering 39.9 percent, 7.2 percentage points lower than April\u2019s reading of 47.1 percent. \u2026 <\/p>\n\n\n\n

\u201c\u2018[F]actory output continued to contract in May<\/strong>, indicating that panelists\u2019 companies are still revising production plans downward amid economic uncertainty. The Employment Index<\/strong> ticked up for a second consecutive month but remained in contraction, as head-count reductions continued.\u2019<\/strong> <\/p>\n\n\n\n

Reuters<\/a>: \u201cU.S. manufacturing contracted for a third straight month in May and suppliers took longer to deliver inputs amid tariffs, potentially signaling looming shortages of some goods<\/strong>.\u201d<\/p>\n\n\n\n

ISM Manufacturing Business Survey Committee chair Susan Spence<\/a>: \u201cThe sentiment this month, for every positive comment, there were five negative comments about the tariffs<\/strong>. You can read it in the report. People are worried<\/strong>. I\u2019m seeing comments comparing it to COVID, saying it\u2019s worse\u2026\u201d<\/p>\n\n\n\n

S&P Global Chief Business Economist Chris Williamson<\/a>: \u201cThese concerns were not without basis: supplier delays have risen to the highest since October 2022, and incidences of price hikes are at their highest since November 2022, blamed in most cases on tariffs<\/strong>. Smaller firms, and those in consumer facing markets, appear worst hit so far by the impact of tariffs on supply and prices.\u201d<\/p>\n\n\n\n

Trump\u2019s economic agenda has been a disaster for working families and small businesses. <\/strong><\/p>\n\n\n\n

Bloomberg<\/a>: \u201cFed staff marked down their expectations for economic growth in 2025 and 2026, reflecting the announced trade policies<\/strong>, the minutes showed.<\/p>\n\n\n\n

\u201c\u2018The staff viewed the possibility that the economy would enter a recession to be almost as likely as the baseline forecast,\u2019 <\/strong>the minutes said.<\/p>\n\n\n\n

\u201cThe staff forecasted the labor market to weaken \u2018substantially,\u2019<\/strong> with the unemployment rate rising above its so-called natural rate this year and remaining elevated through 2027. Tariffs were seen boosting inflation \u2018markedly\u2019 this year. \u2026 <\/strong><\/p>\n\n\n\n

\u201c\u2018Almost all\u2019 participants noted the risk that inflation could prove more persistent than expected.\u201d <\/strong><\/p>\n\n\n\n

CNBC<\/a>: \u201cHere are the retailers raising prices as Trump tariffs take hold\u201d <\/strong><\/p>\n\n\n\n

Associated Press<\/a>: \u201cJohn David Rainey, [Walmart\u2019s] chief financial officer, emphasized that prices are going up on many necessities.<\/strong> The price of bananas,<\/strong> imported from Costa Rica, went up to 54 cents per pound from 50 cents <\/strong>per pound, for example. And he thinks that China-made car seats, which currently sell for $350 at Walmart, will likely go up another $100.\u201d<\/strong> <\/p>\n\n\n\n

USA Today<\/a>: \u201cFord Motor Co. is hiking prices<\/strong> \u2026 becoming one of the first major automakers to adjust sticker prices in response to President Donald Trump\u2019s tariffs.<\/strong><\/p>\n\n\n\n

Reuters<\/a>: \u201cExclusive: Subaru of America increases vehicle prices, citing market conditions\u201d<\/strong> <\/p>\n\n\n\n

Axios<\/a>: \u201cMore than 70% of U.S. small and mid-sized businesses say tariffs have already increased their operating costs \u2026 <\/strong><\/p>\n\n\n\n

\u201c72% of U.S. companies said tariffs have already increased their costs, and 77% expect those costs to rise further by the end of the year.\u201d <\/p>\n\n\n\n

REMINDER: Americans have lost confidence in Trump and are overwhelmingly rejecting his failed economic agenda. <\/strong><\/p>\n\n\n\n