Key details:
- Domestic and overseas market conditions remain
turbulent - Input cost and selling price inflation both ease
Comment:
Rob Dobson, Director at S&P Global Market Intelligence
said:
“May PMI data indicate that UK manufacturing faces
major challenges, including turbulent market conditions,
trade uncertainties, low client confidence and rising
tax-related wage costs. Downturns in output, new orders
and new export business have continued, and business
optimism has stayed subdued by the historical standards
of the survey.
“Smaller manufacturers are experiencing the sharpest
pinch, registering the steepest retrenchments in output
and demand and seeing their confidence slump to
a near record low. Job losses are also rising across
manufacturing, with the rate of decline in employment
gathering pace.
“There are some signs of manufacturing turning a corner
though. PMI indices tracking output and new orders have
moved higher in each of the past two months, suggesting
the downturn is easing, and came in better than the
earlier flash estimates for May. That said, trading
conditions remain turbulent both at home and abroad,
making either a return to stabilisation or a sink back into
deeper contraction likely during the coming months.”
UK Manufacturing PMI
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