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Every quarter, AlixPartners releases the Manufacturing Overview, a data-driven analysis of the state of global manufacturing.
Trade conditions across industries are stabilizing, though manufacturers in Q3 2025 faced lower trailing twelve-month revenues and mixed profit margins. While demand in end markets has weakened, leading to conservative forecasts, many firms are leveraging productivity tools and automation to improve efficiency. Increased agility in response to lingering U.S. tariff uncertainty has helped firms improve inventory turns and better manage working capital, despite ongoing supply chain variability and shifting regulatory environments.
Automation continues to reshape the manufacturing workforce, particularly in regions like China, where efficiency gains are offset by reduced job availability and the need for significant reskilling. As technology advances faster than workforce development, the sector faces a widening skills gap, especially in technical engineering and skilled trade roles that rely heavily on experience and repetition.
Please read the full report below or click here to download for further insights into the extent of these challenges and the strategies manufacturers are creating to combat them.
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