Minnesota Manufacturers Warn of Tougher Business Climate Despite Rebound

Minnesota manufacturers are increasingly uneasy about the state’s business environment, according to Enterprise Minnesota’s 2025 State of Manufacturing survey. Although profitability, revenue, and capital spending have rebounded, 53% of respondents still view Minnesota as a worse place to do business, only a slight improvement from 2024. Rising material costs (29%), workforce shortages (28%), and tariffs (26%) top their list of concerns, while inflation has eased to 12% from 33% last year.

Three in four manufacturers report negative impacts from the state’s new paid family and medical leave law, set to take effect January 1, 2026, with small firms hit hardest. Government regulations remain the leading worry in six of seven regions, and despite signs of financial recovery, few manufacturers believe the state’s economy is expanding.

Insight: S&P 500 Industrials moved down 1.6% over the past week, reflecting negative sentiment in the manufacturing sector.

⚙️ Cleveland-Cliffs to Idle Two Minnesota Plants Amid Steel Market Strain

Cleveland-Cliffs will pause two Minnesota pellet plants, cutting 630 jobs, to manage excess inventory amid tariff-driven steel market disruptions.
Read the full story at MSN.com ➜

🏭 U.S. Manufacturing Weakens Amid Tariff Strain

The ISM PMI fell to 48.7% in October, signaling continued contraction even as demand indicators improved. Tariffs and policy uncertainty continue to pressure production, hiring, and confidence.
Read the full story at ManufacturingDive.com ➜

🧠 Entegris Leads the Way: Reshoring Wafer Carrier Production Signals a Manufacturing Resurgence

Entegris opened a $722M facility in Colorado Springs to reshore wafer carrier manufacturing, adding hundreds of jobs and boosting U.S. semiconductor supply chains for Intel, TSMC, and Samsung.
Read the full story at ManufactringDive.com ➜

🚚 Warehouse Demand Surges Amid Tariff Uncertainties: What Manufacturing Pros Should Know

U.S. industrial real estate absorption hit 60M sq. ft. in Q3, the strongest since early 2023, led by Phoenix and Indianapolis, per Colliers. Despite trade uncertainty, companies are expanding logistics networks as construction slows to its lowest level since 2018.
Read the full story at SupplyChainDive.com ➜

Insight: New manufacturing orders increased by 2.3%, signaling strengthening demand and positive outlook for production planning.

Source: Federal Reserve Economic Data (FRED)

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