Eurozone industrial growth slowed sharply last month as Russia’s invasion of Ukraine worsened supply chain bottlenecks, dented demand and dented confidence, the Purchasing Managers’ Index (PMI, PMI) survey showed. in the acronym in English).
S&P Global’s final industry PMI dropped to a 14-month low of 56.5 in March from 58.2 in February, down from a preliminary 57 but still well above the mark that separates growth from contraction.
The production sub-index slipped to 53.1 from 55.5, the lowest since June 2020, as the bloc faced the first wave of the coronavirus pandemic.
“Just as the waning of the latest wave of the pandemic was creating momentum for the eurozone industry’s recovery, with economies reopening and supply chain bottlenecks decreasing, the war in Ukraine created a threatening new hurdle,” Chris said. Williamson, chief economist at S&P Global.
German industrial PMI drops to 56.9 in March, lowest in 18 months
Germany’s manufacturing PMI dropped from 58.4 in February to 56.9 in March, hitting an 18-month low amid the impacts of the war between Russia and Ukraine.
The final reading was below the preliminary estimate for March and also the forecast of analysts consulted by the The Wall Street Journalof 57.6 in both cases.
Despite the drop, the result above the 50 barrier shows that German manufacturing continued to expand last month, albeit at a slower pace.
UK manufacturing PMI drops to 55.2 in March; level is lowest in 13 months
The UK manufacturing PMI dropped from 58 in February to 55.2 in March, hitting a 13-month low amid the impacts of the war between Russia and Ukraine.
The final reading was below the preliminary March estimate and the forecast of analysts consulted by the The Wall Street Journalof 55.5 in both cases.
Despite the drop, the result above the 50 mark indicates that the British manufacturing sector continued to expand last month, albeit at a more contained pace.
China’s industrial activity contracts in March at the strongest pace in 2 years
China’s industrial activity contracted at its strongest pace in two years in March due to the resurgence of Covid-19 in the country and the economic fallout from the war in Ukraine.
The Caixin/Markit Industry PMI fell to 48.1 in March, indicating the strongest rate of contraction since February 2020, down from 50.4 in the previous month.
The 50 mark separates growth from contraction.
The deterioration in industry conditions was in line with the official PMI released on Thursday, which showed activity contracted at the strongest pace since October 2021. Caixin’s private survey focuses more on small companies in coastal regions.
“The average of the two (PMIs) is now below 50, and apart from the initial impact of the pandemic in 2020, it is now at its lowest since February 2016,” said Sheana Yue, economist at Capital Economics.
The new orders sub-index retreated at the strongest pace since February 2020, when China faced the first wave of Covid-19 outbreaks.
*With information from Estadão Content
Source: CNN Brasil
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