On the campaign Trail, then-GOP nominee Donald Trump promised to end the economic malaise and inflationary policies of the Biden-Harris administration, fueled by high spending during their first two years in office when Democrats controlled Congress and the White House. And now, just a few months into his presidency, Trump is delivering on that promise.
New orders for U.S.-manufactured durable goods rose by $2.7 billion, or 0.9%, in February, marking the second straight month of growth, according to data from the U.S. Census Bureau. Excluding transportation, orders still climbed 0.7%, while orders excluding the defense sector were up 0.8%, showing broad-based strength. Transportation equipment was the primary driver, with orders jumping $1.4 billion, or 1.5%, to $98.3 billion—its second consecutive monthly increase, mirroring the overall trend for durable goods.
Overall demand for U.S.-manufactured goods has now posted back-to-back monthly gains, following a strong 3.3% surge in January. Shipments of manufactured durable goods also rose for the third consecutive month, increasing by $3.4 billion, or 1.2%, to $292.3 billion in February, following a 0.7% uptick in January. Transportation equipment continued to be a major contributor, posting a 2% increase.
The U.S. Census Bureau’s February report included several other positive indicators. Inventories of U.S.-manufactured durable goods rose for the fourth straight month, while unfilled orders increased for the seventh time in the past eight months, signaling continued strength in the manufacturing sector. The rise comes as President Donald Trump has imposed reciprocal tariffs on Canada, China, and Mexico, arguing the policy is necessary to address trade imbalances created by foreign tariffs on U.S. goods. The White House has consistently framed the strategy as a way to bring jobs—especially in manufacturing and energy—back to the United States.
In response, several companies have moved to relocate operations to the U.S. to avoid potential tariffs. Earlier this month, Honda announced it would shift production of its Civic model to Indiana, scrapping earlier plans to build a plant in Guadalajara, Mexico, in an effort to stay ahead of anticipated trade penalties.
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