May sees manufacturing PMI rise to 49.8

ISTANBUL  

The headline Istanbul Chamber of Industry Türkiye Manufacturing PMI posted 49.8 in May, following a reading of 45.7 in April.

The PMI was at its highest since March 2024 and signaled a near-stabilization of business conditions, S&P Global said in a statement on June 1.

Output returned to growth, in part reflecting a renewed expansion in new export orders, it added.

“Purchasing activity also rose, but anecdotal evidence suggested that this was in part due to safety stock building amid price and supply disruption caused by the war in the Middle East,” it said.

Input costs continued to rise sharply and suppliers’ delivery times lengthened, according to the statement.

New export orders increased in May, ending a 20-month sequence of moderation.

The rise in exports helped to limit the extent of the slowdown in total new business, which nonetheless eased slightly during the month, it said.

The Turkish manufacturing sector moved in a more positive direction in May as renewed growth of exports helped to support a slight rise in production, commented Andrew Harker, economics director at S&P Global Market Intelligence.

“There is some question as to whether the expansions seen in May can be sustained given ongoing sharp rises in input costs and supply-chain delays,” said Harker.