The AIB Ireland Manufacturing PMI eased to 54.9 in June 2026, down from May’s four-year high of 55.9, but stayed comfortably above the 50.0 threshold, indicating another solid improvement in manufacturing conditions. Output rose for the eighth consecutive month, and new orders continued to increase at one of the strongest rates seen in the past four years.
Employment grew again as firms expanded capacity, which in turn helped reduce backlogs of work for the first time in four months. Stocks of purchases rose at their fastest pace since January 2023, while inventories of finished goods recorded their strongest increase since July 2019, amid ongoing supply chain disruptions related to the Middle East conflict.
Although input cost inflation eased from May’s 46-month high, it remained elevated, driven by higher fuel, freight, and raw material costs. At the same time, output price inflation accelerated to its quickest pace since December 2022. Business confidence stayed broadly positive, even though it softened slightly compared with May.
