America’s factories actually have something in their favour now

The coronavirus indeed introduces another layer of uncertainty for the global economic outlook. But with leaner inventories, along with the the potential resumption of Boeing 737 Max deliveries later this year and a thawing in U.S.-China trade relations, manufacturers should be in a better position to ramp up production should demand accelerate.

WASHINGTON: The inventory cloud that’s been looming over U.S. manufacturing is starting to dissipate.

Lackluster export markets, trade-policy uncertainty and corporate investment cutbacks remain headwinds for America’s factories following a 2019 downturn. But recent economic data show a welcome turn in stockpiles that could help undergird manufacturing after mounting and weighing on industry over the past two years.