The Gardner Business Index (GBI) measures the current state of durable goods manufacturing activity through survey responses covering new orders, production, backlog, employment, exports and supplier deliveries. A reading above 50 indicates expansion; below 50 indicates contraction.

The Gardner Business Index jumped to 52.3 in January, well above the threshold for expansion.

Source: GROW Industrial Intelligence

The Gardner Business Index is off to a hot start in 2026. With a January reading of 52.3, the GBI climbed to its highest point since June of 2022 and has crossed into expansion territory for the first time in 10 months. Among index components contributing to the 4.1 point increase were significant monthly gains in production, backlog, and new orders, indicating activity has ramped up should remain strong. Plans for future spending are also on the rise. The three-month average for estimated spending per plant over the next 12 months has increased to over $500,000, up from nearly $400,000 just a few months ago. Unsurprisingly, optimism in manufacturing is reflected in the Future Business Index which continues to climb, now at a lofty 66.3.

The GBI Components Scorecard reports the monthly change rate of primary market factors contributing to the overall monthly index reading.

The three-month averages for all components exceeded the previous month with production, new orders and employment hovering right at 50.
Source: GROW Industrial Intelligence

Reading the Scorecard: Color indicates where a component value falls relative to 50 for the current month. Green indicates expansion; red indicates contraction.

Shade indicates a value's distance from 50; the darker the shade, the further from 50.

Direction indicates a value's change versus the previous period. Pointing up is always better.

GBI Spending Intentions reports the average estimated spending per plant over the next 12 months and the percent of facilities indicating they do not plan to make capital purchases. Both are reported as a three-month moving average.

The average spend per plant is now over $500,000, up from nearly $400,000 only a few months ago.
Source: GROW Industrial Intelligence

The GBI Future Business Index is an indicator of the future state of the metalworking market from industry respondents regarding their opinion of future business conditions for the next 12 months. Over 50 is expansion and under 50 is contraction.

Three-month average for the Future Business Index continued its climb into 2026 with reading of 66.8.
Source: GROW Industrial Intelligence