Some Manufacturing Sectors Are Expanding, Journal Says

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espite a downturn in the domestic automotive industry, some segments of U.S. manufacturing are thriving, including heavy-equipment makers, the Wall Street Journal reported Thursday.

Manufacturers are able to pass on rising energy and raw materials costs to their customers, especially other manufacturers, the paper said, and manufacturing output has risen steadily over the past few years.

Business equipment output has risen 26% from 2002, information-processing equipment is up 47% and defense and space equipment has risen about 31%, the Journal reported.

Profitability has not risen extensively for manufacturers, but they have been able to make productivity gains through automation, process improvements and lean inventories, the paper said.