Euro Area Factory Activity Surprises on the Upside
2026-03-24 09:20
By
Luisa Carvalho
1 min. read
The S&P Global Eurozone Manufacturing PMI rose to 51.4 in March 2026 from 50.8 in February, better than forecasts of 49.4, flash estimates showed.
The data signaled an acceleration in manufacturing activity compared with February, marking the strongest growth in 45 months.
New orders continued to rise, and export orders showed signs of stabilization.
Meanwhile, the reduction in employment remained modest, but it was the most pronounced in three months.
Purchasing activity expanded for the first time in 44 months, ending a long sequence of decline.
However, manufacturers reported the most significant lengthening of suppliers’ delivery times in over three and a half years, reflecting supply chain disruptions caused by the Iran war.
As a result, stocks of inputs and finished goods continued to fall, and at a faster pace than in the previous month.
Inflationary pressures intensified markedly, with both input costs and prices charged accelerating.
Lastly, business confidence weakened.