Ireland's manufacturing activity experienced a significant decline in June as demand conditions worsened, according to survey results released by S&P Global on Monday.
The AIB Manufacturing Purchasing Managers' Index fell to 47.4 in June, down from a nearly stable reading of 49.8 in May. A score below 50 denotes a contraction in the sector.
The decline in June was the steepest since July 2023, marking a notably difficult period for the manufacturing industry.
Both output and new orders saw substantial decreases in June, with new orders experiencing their sharpest contraction in nearly a year. Correspondingly, firms reduced their purchasing activities in response to the declining output.
The continued drop in output also posed challenges for maintaining staff levels in June, with job creation rates stalling after hitting an eight-month high in May.
Regarding prices, input price inflation climbed to a three-month high in June due to increased costs for raw materials and suppliers. Consequently, firms raised their selling prices at the fastest pace in fourteen months.
