FX.co ★ Czech Republic Manufacturing Downturn Eases

In April 2025, the S&P Global Czechia Manufacturing PMI increased to 48.9, up from 48.3 the previous month, surpassing market predictions of 47.9. This figure marks the highest level since June 2022, attributed largely to an upturn in new orders, bolstered by heightened demand and new client growth. While overall production levels still saw a decrease, the rate of decline was the mildest observed in the ongoing 35-month period of downturn, indicating a reduction in customer reticence. Conversely, manufacturers significantly reduced employment, primarily due to not replacing workers who left voluntarily. On the pricing front, inflationary pressures seem to be easing. Although input costs increased for the fifteenth consecutive month, the pace of growth decelerated from March's eight-month peak, settling at a historically low level. Looking forward, Czech manufacturers remain optimistic, anticipating a continued revival in demand conditions over the next year.