US manufacturing faces uncertainty as President Donald Trump’s July 9 deadline for imposing double-digit tariffs on most trading partners approaches. The US is the world’s second-largest manufacturer, contributing $2.9 trillion to the global economy, but its share of employment has declined significantly compared to the past.
Manufacturing contributes far fewer jobs in the US than it once did, with only 12.75 million people employed in the sector as of June 2025. This is a significant decline from the peak of nearly 20 million manufacturing jobs in the late 1970s. Experts warn that building back the manufacturing base will be challenging due to the absence of skilled labor, government support, and technology.
Despite these challenges, some investments have been made to revitalize US industry, including a $14 billion investment by Trump’s administration to create 70,000 jobs through partnerships with US Steel and Nippon Steel. However, economists caution that uncertainty surrounding Trump’s tariff policies has left businesses unable to make long-term plans.
The Institute for Supply Management (ISM) Manufacturing Index, also known as the purchasing managers’ index (PMI), measures economic activity based on a survey of purchasing managers at manufacturing firms nationwide. In June, it registered 49 percent, marking a fourth consecutive month of contraction. The PMI is a key indicator of the US economy’s condition, with values above 50 indicating expansion and below 50 indicating contraction.
With Trump’s tariff deadline looming, experts fear that higher tariffs could push the global economy into recession. While Trump argues that tariffs will boost US manufacturing and protect jobs, many experts are skeptical about the effectiveness of these measures in revitalizing the sector.
Source: https://www.aljazeera.com/news/2025/7/8/visualising-us-manufacturing-as-trumps-tariff-deadline-looms