Manufacturing continued to expand in California during the first quarter, but at a slower pace than last year, according to a survey released Friday.
The California quarterly manufacturing index, compiled by the A. Gary Anderson Center for Economic Research at Chapman University, registered 59.8, down from 67.5 in the fourth quarter and from 61.0 in the first quarter of 2005. A reading above 50 indicates expansion in the manufacturing sector.
But the survey said California is still outpacing the nation in manufacturing performance. The national manufacturing index reading was 55.6 in the first quarter; it has hovered in the mid-50 range through the past year.
The manufacturing index is composed of several components: commodity prices, production, inventories, new orders, supplier deliveries and employment. Each one of these components saw drops in their index readings from the fourth quarter, except for employment, which was virtually unchanged at 62.
The survey also breaks out high tech manufacturing: that index reading was 61.1 in the first quarter, down sharply from 76.3 in the fourth quarter and 66 in the first quarter of 2005.
