U.S. Semiconductor Industry Soars While Manufacturing Stalls

In the U.S. manufacturing sector, overall industrial production has exhibited stagnation since the late 1990s. However, notable growth has been observed in computer and semiconductor manufacturing. From 2000 to February 2024, the production index for total manufacturing increased by a modest 2.6%. In contrast, the production index for computer and electronic products surged by 280%, while semiconductors and other electronic components experienced an extraordinary surge of 1877%.

During this period, the majority of manufacturing subsectors witnessed a decline in production. This decline encompassed machinery, plastics and rubber products, fabricated metal products, primary metals, electrical equipment and components, as well as most segments of textile, apparel, and leather products.