Mid-American Economy

Mid-America Manufacturing Jumps into Positive Territory

Sharp Upturn in New Orders Propelled the Index Higher 

February 2026 Survey Highlights:

  • A sharp upturn in new February orders pushed the overall index into solid growth territory. 
  • The regional manufacturing sector shed jobs for the 11th straight month.
  • The wholesale inflation gauge moved higher, further discounting the likelihood of a rate cut at the Federal Reserve’s March 17-18 meetings. 
  • Six of 10 supply managers reported that tariffs had caused economic damage to their firm.   As reported by one supply manager, “The constant tariff volatility is not good for business.”
  • Both export and import readings slumped below growth neutral.
  • According to U.S. International Trade Administration (ITA) data, regional manufacturing exports for all of 2025 fell 5.4% from 2024. Likewise, the regional importation of manufactured goods sank by 4.0%. Thus, the regional trade deficit in manufactured goods increased from $5.1 billion in 2024 to $6.2 billion in 2025.