Texas Manufacturing Activity Declined in September

The Federal Reserve Bank of Dallas reported a decrease in the general business activity index for the state.

Updated on Sept. 28, 2026 in Manufacturing

Bold flat-color editorial illustration of a shipping container on flat ground, evoking the cooling state of the regional manufacturing sector.
The Federal Reserve Bank of Dallas reported that Texas manufacturing activity declined in September, with the business activity index falling to 9.8. AI Illustration. Upload story photo >

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The Federal Reserve Bank of Dallas released its Texas Manufacturing Outlook Survey for September 2026. The state's general business activity index fell to 9.8 from 11.6 in August.

Why it matters

The survey results provide key insights into current regional economic health by aggregating performance data from manufacturers across Texas. These indicators help track shifts in production, pricing, and overall sentiment within the state's industrial sector.

The production index rose to 29.5, while the new orders index increased to 30.7 from 22.0 in the prior month. Meanwhile, the company outlook index fell sharply to 8.7 from 19.2, and the finished goods prices index reached 27.6.

The players

Federal Reserve Bank of Dallas

This is one of the 12 regional reserve banks in the United States that serves the Eleventh Federal Reserve District and monitors regional economic activity.

The details

The Federal Reserve Bank of Dallas gathered these figures by collecting survey responses from manufacturers throughout Texas. The report also noted that raw materials prices increased by eight points during the month.

Timeline

  1. August 2026: The general business activity index was measured at 11.6.

  2. September 2026: The general business activity index decreased to 9.8.

Market Landscape

This report follows the long-standing methodology of the Texas Manufacturing Outlook Survey to provide a clear benchmark for state-level industrial health. It reflects broader shifts in regional competitiveness as manufacturers navigate changes in pricing and order volume.

These shifts in manufacturing indicators can influence local hiring plans and industrial pricing for goods within the state. Readers may see indirect effects on local employment opportunities and the cost of raw materials for Texas-based businesses.

The takeaway

The mixed results of rising production versus a falling company outlook suggest a cautious environment for state manufacturers. Businesses may be prioritizing existing orders while preparing for potential uncertainty in the coming months.

Further reading

For more on the industrial sector in the region, explore the latest Manufacturing reports.

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Texas Manufacturing Activity Declined in September | Wisevoter