Tariffs are raising manufacturing costs, leading to lower demand and production, as indicated by the Institute for Supply Management’s April Purchasing Managers’ Index (PMI), which fell to 48.7%. This decline reflects industry uncertainty regarding tariff policies, with 82% of survey respondents expressing tariff-related concerns. Production dropped significantly, alongside export orders, which decreased to 43.1%. Experts warn of worsening conditions, with potential supply chain disruptions and slower customs processes. The overall economic outlook remains precarious as manufacturers await more stable trade policies.

Source: https://www.supplychaindive.com/news/pmi-april-2025-tariff-impact-trump/746892/