It was a good year for the once-beleaguered U.S. factory sector. The U.S. added 196,000 manufacturing jobs last year. That’s the most since 2014 and comes after the sector lost roughly 16,000 jobs in 2016.
Manufacturing growth has been accelerating recently as the global economic recovery picks up steam and the dollar continues to weaken, making U.S. products cheaper abroad. Robert Frick, an economist at Navy Federal Credit Union, said growth in the factory sector filters through to other parts of the economy, boosting things like equipment sales.
That could help extend the economic expansion, now in its ninth year. “Often a manufacturing revival happens earlier in an expansion, so this indicates the expansion has plenty of life,” said Mr. Frick in a note.