Germany Manufacturing Sees Strong Start to Q3

2026-08-03 08:05 By Joana Taborda 1 min. read

The S&P Global Germany Manufacturing PMI was confirmed at 52.2 in July 2026, the highest in four months, compared to 50.3 in June, signalling an uptick in manufacturing performance.

"Germany's manufacturing sector made an impressive start to the third quarter, with a notable improvement in export sales helping drive the strongest production growth in nearly four-and-a-half years.

An easing of cost inflation to the weakest seen since the outbreak of the Middle East war, primarily linked to the drop in oil prices through June and into early July, was likely a supporting factor too", according to Phil Smith, Economics Associate Director at S&P Global Market Intelligence.

However, business expectations remain subdued in the manufacturing sector, staying below the level seen prior to the outbreak of the conflict.

Supply chain disruption remains an ongoing risk, with delays having worsened again in July due in part to the bottlenecks forming in the global electronics industry.



News Stream
Germany Manufacturing Sees Strong Start to Q3
The S&P Global Germany Manufacturing PMI was confirmed at 52.2 in July 2026, the highest in four months, compared to 50.3 in June, signalling an uptick in manufacturing performance. "Germany's manufacturing sector made an impressive start to the third quarter, with a notable improvement in export sales helping drive the strongest production growth in nearly four-and-a-half years. An easing of cost inflation to the weakest seen since the outbreak of the Middle East war, primarily linked to the drop in oil prices through June and into early July, was likely a supporting factor too", according to Phil Smith, Economics Associate Director at S&P Global Market Intelligence. However, business expectations remain subdued in the manufacturing sector, staying below the level seen prior to the outbreak of the conflict. Supply chain disruption remains an ongoing risk, with delays having worsened again in July due in part to the bottlenecks forming in the global electronics industry.
2026-08-03
German Manufacturing Growth Hits Four-Month High
Germany's S&P Global Manufacturing PMI rose to 52.2 in July 2026 from 50.3 in June, well above market expectations of 50.5, according to a preliminary estimate. The reading signaled the strongest expansion in the sector in four months, driven by a sharp increase in output, which grew at its fastest pace in nearly four-and-a-half years amid stronger order inflows, higher capacity utilization, and frontloading activity. New orders continued to improve, with export demand posting its strongest increase since February 2022. On the inflation front, input cost growth eased to a five-month low, while output price inflation also moderated. Business confidence strengthened during the month but remained below its historical average.
2026-07-24
Germany Factory Growth Revised Up: PMI
The S&P Global Germany Manufacturing PMI was revised higher to 50.3 in June 2026 from a preliminary of 50, pointing to small growth in factory activity, compared to 50.1 in the previous month. There was a modest rise in output that was supported by a slight uptick in demand, while goods producers were a little more optimistic about the outlook. In addition, reports of delays and cost pressures both eased from the recent highs but firms continued to face substantial disruption across supply chains and a steep rate of input price inflation, both principally linked to the fallout from the war in the Middle East. "On the whole, it was a slightly more positive set of results for the German manufacturing sector in June than we saw the month before", according to Phil Smith, Economics Associate Director at S&P Global Market Intelligence .
2026-07-01