U.S. factory output ticked up just 0.1% in March

WASHINGTON — U.S. factory output edged up a slight 0.1 percent in March, as strong production gains in motor vehicles and electronics were partially offset by declines in food and textiles.

The Federal Reserve said Tuesday that factory output slowed from a 1.5 percent gain in February, though it has risen 3 percent over the past year. Overall industrial production, which includes mines and utilities, rose 0.5 percent in March. Utility production jumped 3 percent last month, while mining output increased 1 percent.

“American factories, mines and oil wells are hopping,” said Sal Guatieri, a senior economist at BMO Capital Markets.

Stable growth worldwide has led to increased demand for consumer goods and business equipment, driving much of the additional business seen by manufacturers. The gains during the past 12 months have been led by automobiles, home electronics and metal products. But furniture, clothing and aerospace production has fallen over this period.

Manufacturing has been a stable source of growth for the U.S. economy in recent months, although the pace of its gains have shown signs of slowing amid questions about whether President Donald Trump’s tariffs against China and other countries could lead to a trade war.