U.S. Manufacturing Breaks 40-Month Slump American manufacturing returned to growth in February for the second consecutive month, marking a significant turnaround after nearly three years of contraction. The ISM Manufacturing PMI reached 52.4%, remaining in expansion territory above the 50% threshold that signals economic growth. This represents only the third month of expansion in the past 40 months, highlighting the severity of the sector's recent struggles. Three of five subindexes showed expansion, with new orders, production, and supplier deliveries all improving. However, employment and inventory remain contracted, though both improved from January levels. Four of six largest manufacturing industries expanded, including chemical products, transportation equipment, and computer electronics.