In August, real consumer durable goods spending was $2,123,549 (millions of $, SAAR), which was the lowest level of spending since February. August’s durable goods spending was 4.8% higher than it was one year ago, which was the slowest rate of growth since May 2020. A major reason for the slower growth in August was motor vehicle and parts spending contracted 6.1% compared with one year ago.

The annual rate of growth decelerated in August for the second month in a row. However, the rate of annual growth was still 20.9%, which remained very near the all-time fastest rate of growth. This extreme rate of growth is causing significant problems in the supply chain as it is contributing to increased prices of raw materials, shipping problems, and production problems as some manufacturers are still dealing with supply chain disruptions and reduced staffing.

Below are key spending categories that lead the most important manufacturing new orders and production indices. 

Accelerating Growth: clothing/footwear, medical care, total consumer

Decelerating Growth: appliances, durable goods, electronics, food/beverage, motor vehicles/parts, other non-durable goods, pleasure boats

Accelerating Contraction: 

Decelerating Contraction: air transportation services