What is happening: The Institute for Supply Management’s manufacturing index declined in December 2018 at its sharpest rate in a decade.
Expansion: This suggests that manufacturing expansion is slowing as we start 2019. It also implies that fewer goods are going into the distribution channels.
Slow: The growth in new orders and production have also slowed. The mad rush to import and stockpile has also declined, as companies now appear to be done with their pre-tariff orders.
China: Companies were in a race against time at the end of last year to get their products imported before tariffs were raised dramatically.