This reading marks the fastest growth in the sector since February 2022, driven by improved market demand, resulting in the most substantial increase in new orders since May and production reaching its highest level since September 2021. In response, companies boosted their staffing levels at the quickest rate in five months, and purchasing activity has grown steeply since early 2022.
Capacity constraints persist, yet business confidence reaches five-month high
However, capacity constraints continued, with work backlogs rising sharply. Regarding pricing, input cost inflation remained modest as suppliers held back on price increases, while output prices declined for the second consecutive month. Looking ahead, business confidence rose to a five-month high, fueled by expectations of more robust sales and new product launches, although global economic risks linger.
