EEF comments on publication of the UK’s manufacturing PMI data for January
Published: 01 February, 2019
Commenting on the latest PMI data, Francesco Arcangeli, economist at EEF, the manufacturers’ organisation, said:
“UK manufacturing PMI contracted to 52.8, down 1.4 since December as Brexit uncertainty grows. Stockpiling activities are at 27-year high with storage of inputs continuing to increase rapidly in preparation for a potential No Deal. At the same time, orders are slowing and employment is contracting.
“EU manufacturing PMI is also trending downwards and getting ever closer to the 50 contraction threshold. Germany moved to negative territory for the first time in more than four years and Italy remained below-50 for the fourth month in a row. Italy has now officially entered technical recession while Germany is teetering above it by an inch. This is bad news for UK exporters, with the risk of a cliff-edge Brexit increasing and global trade headwinds brewing, manufacturers will be concerned at the possibility of a perfect storm.”
