We present an auction-based approach to manufacturing control. Workpieces auction off their current task, while machines bid for tasks. When awarding a machine, a workpiece takes into account not only the machine's current work in process, but also the outgoing flow of material. If a machine's outgoing stream is blocked, eventually the machine will not accept a new workpiece, thus blocking its input stream as well. As a result, a capacity bottleneck is automatically propagated in the opposite direction of the material flow. A unique feature of this mechanism is that it does not presuppose any specific material flow; the current capacity bottleneck is always propagated in the opposite direction of the actual flow, no matter what this flow looks like.This paper includes a detailed analysis of the mechanism, including a formal proof of its freedom of deadlocks. DaimlerChrysler evaluated the new control approach as a bypass to an existing manufacturing line. A suite of performance tests demonstrated the industrial feasibility and the benefits of the approach.