German Manufacturing Nears Stabilization

2025-06-23 07:39 By Kyrie Dichosa 1 min. read

The HCOB Germany Manufacturing PMI rose to 49.0 in June 2025 from 48.3 in May and in line with market expectations, preliminary estimates showed.

This signaled the mildest contraction since August 2022, bringing the sector closer to stabilization.

The improvement was driven by output growth, which posted its strongest rise since March 2022, extending the current expansion streak to four months.

Manufacturers also reported a solid pickup in foreign demand, along with signs of strengthening domestic orders.

However, subdued capacity pressures led to further job cuts in June, with the pace of staff reductions accelerating for the first time in four months and reaching its fastest since February.

On the price front, output charges were lowered amid another sharp decline in input costs.

Looking ahead, business confidence strengthened, climbing above its historical average to reach the highest level since February 2022.



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