2 hours ago
Manufacturers in North Florida showed signs of expansion in February, continuing a trend for early 2026.
The University of North Florida Jacksonville Economic Monitoring Survey (JEMS) concluded that First Coast manufactures saw modest upticks last month in nine of 12 economic indicators. It’s the second month in a row of moderate expansion.
“Rising new orders and expanding backlogs suggest that demand has not disappeared, and the increase in export orders is another encouraging sign for a trade-oriented market like Jacksonville,” said Albert Loh, who oversees the JEMS survey and is Associate Dean at the UNF Coggin College of Business.
“At the same time, firms appear to be staying active in purchasing inputs and holding materials, which usually reflects preparation for continued production.”
Another positive indicator is the finished goods Inventory. That figure rose from 49 in January to 51 last month.
“The index value above 50 means more local firms reported that their stock of completed goods increased rather than decreased compared with the previous month, likely in anticipation of future sales or that production has recently outpaced shipments,” Loh said.
UNF researchers from the JEMS project reach out to First Coast manufacturing companies each month to see where they stand on production and several other factors. The latest JEMS report covers February responses and does not account for any impact from the current war in Iran, which was initiated Feb. 28.
One key economic indicator that has contracted this year is employment, as firms have shown hesitance about hiring new personnel.
“An Employment Index of 48 in February suggests that employment in Jacksonville’s manufacturing sector was contracting during the month, which points to some softening in manufacturing payrolls with businesses appearing to be more cautious about adding workers,” Loh said.
Another area of contraction is the future outlook among manufacturers. Business activity outlook in the next year showed the most significant contraction in February, falling from an index rating of 55 in January to 49.
“Firms are showing a cautious outlook about where business conditions are headed over the coming year,” Loh said of the 12-month economic outlook. “While some firms are seeing short-term improvement, many remain concerned about slow growth, customer hesitation, and ongoing cost pressure.”
