US ISM manufacturing expansion reaches fastest pace since 2022, with a significant surge in input costs

However, due to the impact of the war launched by the United States and Israel against Iran, input prices (factory costs) continue to soar. The war with Iran has effectively closed the Strait of Hormuz, cutting off the transportation of crude oil and other products critical to manufacturing, directly driving a spike in oil prices. The ISM manufacturing input price sub-index has risen to 78.3, remaining at its highest level since mid-2022; over the past two months, the index has increased by a total of 19.3 points, marking the largest rise in nearly a decade. Higher input costs may force U.S. manufacturers to raise their selling prices, indicating that overall inflation will be even hotter throughout the year.ExpandRelated articles:U.S. manufacturing expansion hits strongest level since 2022, soaring input costs intensify inflation concerns