AEM Report Calls U.S. Equipment Manufacturing “Selectively Strong”

The Association of Equipment Manufacturers (AEM) released its triennial report, The Economic Impact of the U.S. Equipment Manufacturing Industry, on Monday at CONEXPO-CON/AGG 2026 in Las Vegas, describing the sector as “selectively strong” despite relatively flat employment and GDP growth from 2023 to 2025.

Commissioned by AEM and prepared by S&P Global Market Intelligence, the report analyzes the industry’s direct, indirect and induced economic contributions.

According to the report, the U.S. off-highway equipment manufacturing industry generated $902 billion in total sales activity in 2025 and supported 2.2 million jobs nationwide, including 421,000 direct jobs. The industry contributed approximately $415 billion to U.S. GDP, or about 1.4% of nominal GDP, and generated $194 billion in total labor income. Average annual pay reached $105,000.

“Equipment manufacturers build, power, and feed the world,” said Brian Bieller, Chair of AEM’s Government and Public Affairs Committee and President of BOMAG Americas, Inc. “This report underscores the scale of our industry’s footprint: we represent more than 1 in 100 U.S. jobs and 1 in 10 manufacturing jobs. As policymakers debate the next chapter of infrastructure, trade, workforce, and tax policy, these numbers make one thing clear: supporting equipment manufacturing is supporting the U.S. economy.”

Employment across the industry declined 0.4% from 2023 to 2025, following growth in 2023 and contraction in 2024 and 2025. Construction equipment manufacturing saw direct employment grow 2.9% during the period, while mining equipment grew 2.4%. Agricultural equipment manufacturing declined 7.6%.

“AEM’s equipment manufacturers have weathered every storm thrown at them — but resilience alone is not a growth strategy,” said Kip Eideberg, AEM’s Senior Vice President of Government and Industry Relations. “To make manufacturing great again, we need a comprehensive strategy that prioritizes smart and sensible trade policies, drives the funding needed for nation-building infrastructure, modernizes regulations, and delivers real permitting reform. When equipment manufacturers succeed, America succeeds.”

The report also details state-level employment impacts, with Texas, Iowa, Wisconsin, Illinois and Ohio among the states with the largest total job support.