Eurozone Manufacturing PMI was finalized at 49.5 in June, up slightly from 49.4 in May and marking the highest level in nearly three years. The data reflects gradual stabilization across the bloc’s industrial base, with output expanding for the fourth straight month and new orders showing signs of bottoming out. However, the headline figure remains below the 50-mark, signaling the sector is still technically in contraction.
Among individual economies, Ireland (53.7), Greece (53.1), Spain (51.4), and the Netherlands (51.2) led the pack with readings in expansion territory. In contrast, France (48.1), Italy (48.4), and Austria (47.0) continued to weigh on the region, posting multi-month lows. Germany, the bloc’s industrial engine, came in at 49.0—its best level in 34 months, but still shy of expansion.
Hamburg Commercial Bank’s Cyrus de la Rubia noted that longer delivery times and a stabilization in order books are early signs of a pickup in demand, despite ongoing macro risks from tariffs, the Middle East, and Ukraine. He added that if Germany returns to growth—helped by fiscal support from the new coalition—France, Italy, and Austria could follow, given their strong trade ties.
