Will 2026 be a Turnaround Year for Manufacturing

U.S. factories see job growth in January after 13 consecutive months of decline.

For Immediate Release: February 11, 2026

Washington, D.C. - U.S. factories gained 5,000 jobs in January, according to data released by the Bureau of Labor Statistics on Wednesday.

Alliance for American Manufacturing President Scott Paul said:

"Could this be a turning point for manufacturing jobs? After 13 consecutive months of factory job losses, the slight bump up in January is a welcome sign. Add that to other recent manufacturing data points, and 2026 may be a turnaround year. There are massive variables, including tariffs, the AI impact, workforce, and interest rates, that will have an impact as we look ahead."

AAM is tracking five emerging patterns in U.S. manufacturing, including:

• a potential rise in factory jobs in response to lower interest rates, trade stability, and an improving macroeconomy
• growth in factory openings that build upon the strength of 2025's factory construction
• tariffs applied through existing trade authorities amid a falling goods trade deficit and continued U.S.-China trade negotiations
• expanded Pell Grant access for manufacturing training programs
• artificial intelligence (AI) data centers crowding out manufacturing for talent, energy and materials

New polling shows that seven in 10 (69%) Americans are worried that AI could negatively impact manufacturing jobs, and the vast majority (73%) say that data center projects should maximize job growth by using American-made materials in data centers.

More key findings here.

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