Eurozone Manufacturing Expansion Slows in June

2026-07-01 08:37 By Joana Ferreira 1 min. read

The S&P Global Eurozone Manufacturing PMI declined to 51.4 in June 2026 from 51.6 in May, broadly aligning with the preliminary estimate of 51.3.

Despite the slight slowdown, the sector has now remained in expansion territory for a fifth consecutive month, rounding off the strongest calendar quarter for euro area manufacturing production since the first months of 2022.

This growth helps counterbalance the recent downturn observed in the services economy.

In June, output growth picked up from May’s four-month low, although new orders saw only a marginal increase and employment continued to fall.

Supplier capacity remained under pressure due to the ongoing Middle East conflict.

Meanwhile, both input and output cost inflation moderated from multi-year highs, and business confidence climbed to a four-month high.



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Eurozone Manufacturing Expansion Slows in June
The S&P Global Eurozone Manufacturing PMI declined to 51.4 in June 2026 from 51.6 in May, broadly aligning with the preliminary estimate of 51.3. Despite the slight slowdown, the sector has now remained in expansion territory for a fifth consecutive month, rounding off the strongest calendar quarter for euro area manufacturing production since the first months of 2022. This growth helps counterbalance the recent downturn observed in the services economy. In June, output growth picked up from May’s four-month low, although new orders saw only a marginal increase and employment continued to fall. Supplier capacity remained under pressure due to the ongoing Middle East conflict. Meanwhile, both input and output cost inflation moderated from multi-year highs, and business confidence climbed to a four-month high.
2026-07-01
Eurozone Manufacturing Growth Slows Again
The S&P Global Eurozone Manufacturing PMI edged down to 51.3 in June 2026 from 51.6 in May, slightly below market expectations of 51.6, preliminary data showed. The sector remained in expansion for a fifth consecutive month, but growth slowed for a second month, as supply chain disruptions linked to the Middle East conflict still weighed on activity. The sector continued to benefit from inventory building as customers bought ahead of expected price rises and possible supply issues, supporting demand. New orders rebounded marginally. Meanwhile, employment continued to decline, and business sentiment remained weak. On the price front, input costs continued to rise rapidly, but the rate of inflation slowed. Selling prices also moderated, although less than input costs.
2026-06-23
Eurozone Manufacturing Growth Slows Amid Rising Costs
The S&P Global Eurozone Manufacturing PMI fell to 51.6 in May 2026, down from April’s near four-year high of 52.2 but slightly above the preliminary estimate of 51.4. While the sector expanded for a fourth consecutive month, growth is faltering under the strain of soaring prices and supply chain disruptions tied to the Middle East conflict. A notable outlier was the suppliers’ delivery times index, which, despite signaling the worst delays since June 2022, positively contributed to the headline PMI, as longer lead times historically correlate with higher manufacturing activity. However, new orders stagnated, production growth slowed, and input prices and output charges surged to four-year and three-and-a-half-year highs, respectively. Employment continued to decline, and business optimism remained subdued.
2026-06-01