2026 Mid-Market Manufacturing Outlook
Discover how manufacturers are navigating challenges and seizing opportunities in 2026.
2026 Outlook: Key Findings
Our survey of 300-U.S.-based manufacturers and distributors highlights how manufacturers and distributors approach business growth, their technology investments, and the economic trends impacting their operations.
- 74%plan to increase investments in AI
- 71%will increase investments in industrial automation
- 75%will increase investment in cybersecurity
- 94%82% expect production increases while 83% also expect costs to rise
Optimizing Technology
AI adoption is accelerating as manufacturers look to improve quality and efficiency. Forty percent expect quality inspection to see the biggest AI gains in the next three years, and 37% plan to make it their top investment priority.
Navigating Challenges
Cybersecurity remains a major challenge, with one in five companies naming it a top concern. Seventy five percent plan to increase investments in cybersecurity and automation as they work to strengthen protection across their operations.
Achieving Sustainable Growth
Despite rising operational costs, companies remain optimistic about the year ahead. More than 70% are confident in their ability to pursue growth, and most expect to increase production volumes in the next 12 months, even as 83% anticipate higher business expenses.
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