Factory employment continues to shrink amid layoffs as tariff woes depress US manufacturing 🇺🇸 The Institute for Supply Management’s survey on Tuesday offered a gloomy assessment of business conditions, with tariffs cited as a major factor by manufacturers. President Donald Trump's wave of tariffs has eroded business and consumer confidence. Economists have criticized the import duties as inflationary and detrimental to the economy. American manufacturers rely heavily on imported raw materials and could experience a severe disruption in supply chains, economists warned.