world-economy

US Manufacturing Surges as Companies Rush to Beat Price Hikes

US manufacturing expanded in May at the fastest pace in four years. Companies accelerated purchases to avoid anticipated cost increases tied to geopolitical tensions in the Middle East. The manufacturing push reflects broader supply chain pressures rippling through the economy. Import and export prices jumped in April by the most since 2022, with crude oil price spikes hitting transportation and production costs. Domestic oil drilling activity climbed to four-year highs as producers responded to elevated energy prices. Fuel costs are expected to accelerate further in coming weeks, with analysts warning that gasoline, diesel and jet fuel prices could spike significantly. The situation extends globally, with India raising domestic fuel prices for the first time in four years as refiners contend with higher crude costs.