Mexico's Manufacturing PMI Rises in May

2026-06-01 15:59 By Isabela Couto 1 min. read

The S&P Global Mexico Manufacturing PMI rose to 49.6 in May 2026 from 47.7 in the previous month, signaling a softer deterioration in factory activity and the joint-mildest contraction in the current nine-month downturn.

New orders returned to growth, supported by stronger domestic demand, upcoming FIFA World Cup-related activity, and the approval of pending projects.

However, manufacturing output continued to decline, while export orders fell at the sharpest pace in three months amid weaker demand from Europe, Japan, and the US.

Elevated cost pressures linked to tariffs and the war in the Middle East pushed input price inflation to one of the highest levels in over 15 years, driven by higher energy, fuel, transportation, and raw material costs.

Firms responded by reducing purchasing activity, cutting inventories, and shedding jobs.

Despite ongoing challenges, business confidence improved and turned positive in May, although optimism remained subdued by historical standards.



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Mexico's Manufacturing PMI Rises in May
The S&P Global Mexico Manufacturing PMI rose to 49.6 in May 2026 from 47.7 in the previous month, signaling a softer deterioration in factory activity and the joint-mildest contraction in the current nine-month downturn. New orders returned to growth, supported by stronger domestic demand, upcoming FIFA World Cup-related activity, and the approval of pending projects. However, manufacturing output continued to decline, while export orders fell at the sharpest pace in three months amid weaker demand from Europe, Japan, and the US. Elevated cost pressures linked to tariffs and the war in the Middle East pushed input price inflation to one of the highest levels in over 15 years, driven by higher energy, fuel, transportation, and raw material costs. Firms responded by reducing purchasing activity, cutting inventories, and shedding jobs. Despite ongoing challenges, business confidence improved and turned positive in May, although optimism remained subdued by historical standards.
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