NAICS Code Lookup

General

NAICS Code
32
Industry

Phraseology

Manufacturing

Description

The Sector as a Whole

The Manufacturing sector comprises establishments engaged in the mechanical, physical, or chemical transformation of materials, substances, or components into new products. The assembling of component parts of manufactured products is considered manufacturing, except in cases where the activity is appropriately classified in Sector 23, Construction.

Establishments in the Manufacturing sector are often described as plants, factories, or mills and characteristically use power-driven machines and materials-handling equipment. However, establishments that transform materials or substances into new products by hand or in the worker's home and those engaged in selling to the general public products made on the same premises from which they are sold, such as bakeries, candy stores, and custom tailors, may also be included in this sector. Manufacturing establishments may process materials or may contract with other establishments to process their materials for them. Both types of establishments are included in manufacturing.

The materials, substances, or components transformed by manufacturing establishments are raw materials that are products of agriculture, forestry, fishing, mining, or quarrying as well as products of other manufacturing establishments. The materials used may be purchased directly from producers, obtained through customary trade channels, or secured without recourse to the market by transferring the product from one establishment to another, under the same ownership.

The new product of a manufacturing establishment may be finished in the sense that it is ready for utilization or consumption, or it may be semifinished to become an input for an establishment engaged in further manufacturing. For example, the product of the alumina refinery is the input used in the primary production of aluminum; primary aluminum is the input to an aluminum wire drawing plant; and aluminum wire is the input for a fabricated wire product manufacturing establishment.

The subsectors in the Manufacturing sector generally reflect distinct production processes related to material inputs, production equipment, and employee skills. In the machinery area, where assembling is a key activity, parts and accessories for manufactured products are classified in the industry of the finished manufactured item when they are made for separate sale. For example, a replacement refrigerator door would be classified with refrigerators and an attachment for a piece of metal working machinery would be classified with metal working machinery. However, components, input from other manufacturing establishments, are classified based on the production function of the component manufacturer. For example, electronic components are classified in Subsector 334, Computer and Electronic Product Manufacturing and stampings are classified in Subsector 332, Fabricated Metal Product Manufacturing.

Manufacturing establishments often perform one or more activities that are classified outside the Manufacturing sector of NAICS. For instance, almost all manufacturing has some captive research and development or administrative operations, such as accounting, payroll, or management. These captive services are treated the same as captive manufacturing activities. When the services are provided by separate establishments, they are classified to the NAICS sector where such services are primary, not in manufacturing.

The boundaries of manufacturing and the other sectors of the classification system can be somewhat blurry. The establishments in the manufacturing sector are engaged in the transformation of materials into new products. Their output is a new product. However, the definition of what constitutes a new product can be somewhat subjective. As clarification, the following activities are considered manufacturing in NAICS:

Milk bottling and pasteurizing;

Water bottling and processing;

Fresh fish packaging (oyster shucking, fish filleting);

Apparel jobbing (assigning of materials to contract factories or shops for fabrication or other contract operations) as well as contracting on materials owned by others;

Printing and related activities;

Ready-mixed concrete production;

Leather converting;

Grinding of lenses to prescription;

Wood preserving;

Electroplating, plating, metal heat treating, and polishing for the trade;

Lapidary work for the trade;

Fabricating signs and advertising displays;

Rebuilding or remanufacturing machinery (i.e., automotive parts)

Ship repair and renovation;

Machine shops; and

Tire retreading.

Conversely, there are activities that are sometimes considered manufacturing, but which for NAICS are classified in another sector (i.e., not classified as manufacturing). They include:

1. Logging, classified in Sector 11, Agriculture, Forestry, Fishing and Hunting, is considered a harvesting operation;

2. The beneficiating of ores and other minerals, classified in Sector 21, Mining, Quarrying, and Oil and Gas Extraction, is considered part of the activity of mining;

3. The construction of structures and fabricating operations performed at the site of construction by contractors, is classified in Sector 23, Construction;

4. Establishments engaged in breaking of bulk and redistribution in smaller lots, including packaging, repackaging, or bottling products, such as liquors or chemicals; the customized assembly of computers; sorting of scrap; mixing paints to customer order; and cutting metals to customer order, classified in Sector 42, Wholesale Trade or Sector 44-45, Retail Trade, produce a modified version of the same product, not a new product; and

5. Publishing and the combined activity of publishing and printing, classified in Sector 51, Information, perform the transformation of information into a product whereas the value of the product to the consumer lies in the information content, not in the format in which it is distributed (i.e., the book or software diskette).

NAICS CodesNAICS Description
3211Sawmills and Wood Preservation
3212Veneer, Plywood, and Engineered Wood Product Manufacturing
3219Other Wood Product Manufacturing
3221Pulp, Paper, and Paperboard Mills
3222Converted Paper Product Manufacturing
3231Printing and Related Support Activities
3241Petroleum and Coal Products Manufacturing
3251Basic Chemical Manufacturing
3252Resin, Synthetic Rubber, and Artificial Synthetic Fibers and Filaments Manufacturing
3253Pesticide, Fertilizer, and Other Agricultural Chemical Manufacturing
3254Pharmaceutical and Medicine Manufacturing
3255Paint, Coating, and Adhesive Manufacturing
3256Soap, Cleaning Compound, and Toilet Preparation Manufacturing
3259Other Chemical Product and Preparation Manufacturing
3261Plastics Product Manufacturing
3262Rubber Product Manufacturing
3271Clay Product and Refractory Manufacturing
3272Glass and Glass Product Manufacturing
3273Cement and Concrete Product Manufacturing
3274Lime and Gypsum Product Manufacturing
3279Other Nonmetallic Mineral Product Manufacturing
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