📊 Manufacturing and Trade Inventories and Sales Report: October 2025 – Economic Summary

14 January 2026

The Manufacturing and Trade Inventories and Sales report for October 2025, released by the U.S. Census Bureau, provides a detailed snapshot of sales, inventories, and inventory-to-sales ratios across the manufacturing, retail, and wholesale sectors. The data shows modest growth in inventories and a slight decline in sales compared to the previous month, with year-over-year figures indicating continued expansion. The report does not provide forward-looking projections or sector-specific commentary beyond the data tables.

Key Economic Findings from the October 2025 Report

1. Total Business Sales and Inventories

  • Sales:
    • The combined value of distributive trade sales and manufacturers’ shipments (seasonally adjusted) for October 2025 was $1,943.7 billion, down 0.2% from September 2025, but up 3.5% from October 2024.
  • Inventories:
    • End-of-month business inventories (seasonally adjusted) were $2,677.8 billion, up 0.3% from September 2025 and up 1.4% from October 2024.
  • Inventories/Sales Ratio:
    • The total business inventories/sales ratio was 1.38 in October 2025, compared to 1.37 in September 2025 and 1.41 in October 2024.

2. Sector Breakdown

Manufacturers

  • Sales (Shipments):
    • October 2025: $607.0 billion (seasonally adjusted)
    • Change: Up 0.1% from September 2025; up 2.8% from October 2024.
  • Inventories:
    • October 2025: $947.0 billion (seasonally adjusted)
    • Change: Up 0.0% from September 2025; up 1.4% from October 2024.
  • Inventories/Sales Ratio:
    • October 2025: 1.56 (unchanged from September 2025; down from 1.58 in October 2024)

Retailers

  • Sales:
    • October 2025: $631.7 billion (seasonally adjusted)
    • Change: Up 0.6% from September 2025; up 1.0% from October 2024.
  • Inventories:
    • October 2025: $817.2 billion (seasonally adjusted)
    • Change: Up 0.6% from September 2025; up 1.0% from October 2024.
  • Inventories/Sales Ratio:
    • October 2025: 1.29 (up from 1.28 in September 2025; down from 1.32 in October 2024)

Merchant Wholesalers

  • Sales:
    • October 2025: $704.9 billion (seasonally adjusted)
    • Change: Down 0.4% from September 2025; up 4.6% from October 2024.
  • Inventories:
    • October 2025: $913.5 billion (seasonally adjusted)
    • Change: Up 0.2% from September 2025; up 1.7% from October 2024.
  • Inventories/Sales Ratio:
    • October 2025: 1.30 (up from 1.29 in September 2025; down from 1.33 in October 2024)

3. Retail Sector Details (Selected Categories)

  • Motor Vehicle & Parts Dealers:
    • Sales: $137.3 billion (seasonally adjusted)
    • Inventories: $264.1 billion
    • Inventories/Sales Ratio: 1.92
  • Food & Beverage Stores:
    • Sales: $85.3 billion
    • Inventories: $63.6 billion
    • Inventories/Sales Ratio: 0.75
  • General Merchandise Stores:
    • Sales: $77.5 billion
    • Inventories: $94.1 billion
    • Inventories/Sales Ratio: 1.21

4. Trends and Context

  • Monthly Changes:
    • Overall, inventories increased slightly across all sectors, while sales were mixed (retail up, wholesale down, manufacturing nearly flat).
  • Year-over-Year Growth:
    • All sectors reported higher sales and inventories compared to October 2024, with merchant wholesalers showing the strongest sales growth.
  • Inventories/Sales Ratios:
    • Ratios are generally lower than a year ago, suggesting that sales have outpaced inventory accumulation, which can indicate healthy demand or improved inventory management.

5. Data Reliability and Adjustments

  • All figures are seasonally adjusted for trading day and holiday differences, but not for price changes.
  • The report includes confidence intervals for most estimates, indicating statistical uncertainty. For example, the 0.2% monthly decline in total sales has a margin of error that includes zero, so it is not statistically significant.
  • The data covers only businesses with paid employees.

💡 Summary

The October 2025 Manufacturing and Trade Inventories and Sales report shows a U.S. economy with steady, moderate growth in both inventories and sales across manufacturing, retail, and wholesale sectors. Total business sales reached $1,943.7 billion (seasonally adjusted), down slightly from the previous month but up 3.5% year-over-year. Inventories rose to $2,677.8 billion, a 0.3% monthly increase and 1.4% higher than a year ago. The inventories/sales ratio edged up to 1.38, but remains below last year’s level, indicating that businesses are keeping inventory levels in line with sales growth. Retailers saw a modest sales and inventory increase, while merchant wholesalers experienced the strongest annual sales growth. The report does not provide forecasts or qualitative commentary, but the data suggests stable demand and cautious inventory management.

References:

  1. Manufacturing and Trade Inventories and Sales, U.S. Census Bureau

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