Germany Factory Growth Slows in April

2026-04-23 07:48 By Luisa Carvalho 1 min. read

The S&P Global Germany Manufacturing PMI fell to 51.2 in April 2026 from 52.2 in the prior month, broadly in line with forecasts of 51.3, according to flash estimates.

The data pointed to a slowdown in manufacturing activity following a solid expansion in March, which was strongest pace since May 2022.

Both output and new orders decelerated sharply as geopolitical uncertainty dampened demand and led to greater customer reluctance.

Employment fell once again, coinciding with a reduction in backlogs of work.

Meanwhile, supplier performance deteriorated at its fastest pace since mid-2022.

On the price front, higher prices for materials such as metals and plastics resulted in very strong cost pressures, the highest in the sector for over three-and-a-half years.

Output charge inflation hit a 39-month high, as businesses tried to pass some of the higher costs on to clients.

The outlook for the year ahead turned pessimistic amid heightened uncertainty, rising prices, and supply issues.



News Stream
Germany Factory Growth Slows in April
The S&P Global Germany Manufacturing PMI fell to 51.2 in April 2026 from 52.2 in the prior month, broadly in line with forecasts of 51.3, according to flash estimates. The data pointed to a slowdown in manufacturing activity following a solid expansion in March, which was strongest pace since May 2022. Both output and new orders decelerated sharply as geopolitical uncertainty dampened demand and led to greater customer reluctance. Employment fell once again, coinciding with a reduction in backlogs of work. Meanwhile, supplier performance deteriorated at its fastest pace since mid-2022. On the price front, higher prices for materials such as metals and plastics resulted in very strong cost pressures, the highest in the sector for over three-and-a-half years. Output charge inflation hit a 39-month high, as businesses tried to pass some of the higher costs on to clients. The outlook for the year ahead turned pessimistic amid heightened uncertainty, rising prices, and supply issues.
2026-04-23
Germany Manufacturing PMI Revised Higher
The S&P Global Germany Manufacturing PMI was revised sharply higher to 52.2 in March 2026 from a preliminary of 51.7 and compared to 50.9 in February. The reading pointed to the strongest growth in the manufacturing sector since May 2022, with output and new orders both seeing stronger rates of growth, amid a boost to demand from customers looking to mitigate disruption from the conflict in the Middle East. also, there was a marked deterioration in supplier performance largely reflecting supply disruption stemming from war, which notably included delays to freight from Asia. The extent to which lead times lengthened was the greatest seen since July 2022. Meanwhile, German manufacturers also faced a surge in cost pressures with input price inflation jumping to its highest since October 2022 due to energy and factory gate prices also accelerated. In addition, there were supply chain delays and business expectations retreated sharply to four-month lows.
2026-04-01
German Manufacturing PMI Hits Highest Level Since 2022
Germany's S&P Global Manufacturing PMI climbed to 51.7 in March 2026, up from 50.9 in February and exceeding market expectations of 49.5, according to preliminary data. This marks the strongest expansion in Germany’s manufacturing sector since June 2022, driven by the fastest growth in production since February 2022 and the quickest rise in new orders in four years. Firms reported that the Middle East conflict spurred demand, with customers seeking to avoid supply disruptions and build up inventories. However, supply chain pressures intensified, with lead times lengthening for a seventh consecutive month, the most since July 2022. Input cost inflation surged to its highest since October 2022, fueled by rising energy, fuel, transportation, wages, and raw material costs, while output price inflation hit a three-year peak. Despite the current growth, business sentiment weakened due to ongoing concerns about the war’s impact on the economy.
2026-03-24