U.S. industrial capacity utilization held steady at 76.3% in August 2026, unchanged from July and marking the highest level in a year, though slightly below market expectations of 76.4%. Despite the firming trend observed since the start of the year, utilization remains notably below its long-run average of 79.4%.
In manufacturing, capacity utilization edged up to 76.0% from 75.9% in July. Gains were driven in particular by computer and electronic products, where utilization rose to 77.2% from 76.2%, and by electrical equipment, which increased to 86.6% from 85.5%. These advances mirror robust capital expenditure on AI-related infrastructure and computing capabilities. In contrast, utilization in nondurable manufacturing declined to 75.6% from 76.0%.
