Manufacturing Trends

After a dip in 2001, U.S. manufacturing output grew steadily until the economic crisis of 2008-09. North Carolina manufacturing also fell in 2001, but sustained additional losses for the next two years before growing dramatically from 2003 to 2007. The state's manufacturing output reached a 10-year record of nearly $80 billion in 2007 (also a record year for the U.S. overall), but like manufacturing nationwide was hurt by the recent financial crisis. Growth in nonmanufacturing sectors of the North Carolina economy -- e.g., finance and insurance; real estate, rental and leasing; and health care and social assistance -- is unlikely to spur growth in manufacturing, as the manufactured goods those sectors use to conduct their business are primarily computers and electronics. North Carolina companies producing goods other than computers and electronics, therefore, that are able to develop markets outside the state, and outside the U.S., will grow the most over the next few years.

Line Chart of total US GDP and Manufacturing Sector in billions of dollars (1997-2009)
Source: Bureau of Economic Analysis, US Department of Commerce
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Line Chart of North Carolina GDP and Manufacturing Sector in billions of dollars (1997-2009)

Source: Bureau of Economic Analysis, US Department of Commerce
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Detailed Line Chart (comparing durable and non-durable goods) of North Carolina Distribution of GDP for Manufacturing Sector (1997-2009)

Source: Bureau of Economic Analysis, US Department of Commerce
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Manufactured goods are categorized as either durable (expected to last at least a year) or non-durable. Non-durable goods include paper, food products and chemicals. Durable goods include fabricated metal products, transportation equipment, furniture, computers and electronics.

Last Updated: September 2, 2011

Manufacturing Extension Partnership

IES brings research and expertise from North Carolina State University’s College of Engineering to the workplace, to help businesses and organizations thrive. We will work anywhere, with any industry, to solve problems and deliver results like lower costs, better products, and higher efficiencies. We succeed when our clients succeed. Since 2000, IES has helped create almost $2 billion in economic value to the state of North Carolina; clients working with IES generally receive a $25:1 return on their investment.

IES is part of the Manufacturing Extension Partnership (MEP), a nationwide program that is part of the National Institute of Standards and Technology (NIST). With a network of MEP centers in every state and Puerto Rico, the program's purpose is to provide small and medium-sized manufacturers with the tools they need to succeed. In an independent survey conducted quarterly by MEP, manufacturing clients reported that IES services have been worth more than $1.06 billion from 2006 - 2010 in jobs saved or created, productivity gains, increased sales and increased investment opportunities.

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