The S&P Global Eurozone Manufacturing PMI rose to 52.7 in August 2026 from 51.9 in July, coming in just below the preliminary estimate of 52.8 but still registering its highest reading since May 2022. Germany was the main growth engine, posting its strongest manufacturing expansion in more than four years, with France also adding positive momentum. These gains were partially offset by continued contraction in Italy and Spain.
Manufacturing output in the euro area increased for a third consecutive month, with growth accelerating to its fastest rate in four and a half years. Demand conditions also improved, underpinned by the strongest rise in total new orders since early 2022 and a renewed expansion in export business. At the same time, supply bottlenecks persisted, reflected in a sharp lengthening of supplier delivery times. Employment levels were broadly unchanged, effectively ending a period of more than three years of job losses. Input cost pressures continued to moderate, while business confidence strengthened for the fourth month in a row.
