Industrial Machinery Manufacturers NAICS 3332

May 30, 2026 - USMCA Up For Review

• As the six-year review of the United States–Mexico–Canada Agreement (USMCA) gets underway this month, the National Association of Manufacturers is urging policymakers to preserve and strengthen the agreement, calling it the most manufacturing-friendly trade agreement in US history. In a new report released by the NAM in May, the organization praised the USMCA and called for its swift renewal. Manufacturing groups say the agreement has boosted exports to Canada and Mexico, strengthened supply chains, increased investment, and supported about 2 million US jobs tied to North American trade. Still, industry leaders are pushing for improvements, including streamlined customs procedures, stronger intellectual property protections, and greater regulatory alignment. Manufacturers are also concerned about potential uncertainty from the review process, especially around tariffs, automotive rules, and supply chain requirements. The review’s outcome could significantly affect production costs, capital investment, hiring, and nearshoring strategies across the US manufacturing sector.
• Sales of heavy equipment are falling amid high interest rates, fewer infrastructure projects, and tariff pressures that have slowed growth and decreased jobs in the sector, The New York Times reports citing a new report from the Association of Equipment Manufacturers (AEM). The heavy equipment manufacturing sector is producing less and employing fewer people than it did in 2022. Total sales and indirect economic output from the heavy equipment sector was $902 billion in 2025, a slight contraction from $905 billion in 2022, per the AEM report. Tariffs play a major role in the downturn. While the Supreme Court in February struck down some of the Trump administration’s tariffs, tariffs on steel and aluminum remain in place and are increasing the cost of imported components and finished equipment, making machinery more expensive for buyers and reducing sales volumes.

• The complex web of tariffs imposed by the Trump administration has infiltrated most segments of the US manufacturing technology supply chain, impacting everything from pricing and sourcing to investment timelines, a recent Association For Manufacturing Technology’s (AMT) survey of 80 manufacturing technology executives found. Reciprocal tariffs, Section 301 tariffs, 50% levies on steel and aluminum, and a pending Section 232 investigation of robotics and industrial machinery imports have added layers of complexity to pricing, sourcing, and production planning for US manufacturers across most of the supply chain, per AMT. The survey found 91% of respondents reported increased landed costs (the total cost of getting a product from the factory to a customer’s door) due to tariffs; 85% raised customer prices to offset those costs; and 85% experienced margin compression on imported machinery or components. Notably, only 9% of those surveyed reported switching suppliers.
• Producer prices for industrial machinery manufacturers rose 4.1% in April compared to a year ago, after rising 2.9% in the previous April-versus-April annual comparison, according to the latest US Bureau of Labor Statistics data. Industry producer prices are at near record highs amid rising input costs driven by tariffs, and rising energy and labor costs. Employment by the industry shrank 2.5% year over year in March, while the average wage at industrial machinery manufacturers climbed 10.2% over the same period to a new high of $34.62 per hour, BLS data show.