Spanish manufacturing progress accelerates in December, PMI exhibits

MADRID (Reuters) – Spain’s manufacturing sector ended 2024 on a powerful notice, with each output and new orders accelerating in December, a survey by S&P World confirmed on Thursday, in a stark distinction with the remainder of the euro zone.

The headline HCOB Spain Manufacturing Buying Managers’ Index (PMI) rose to 53.3 in December from 53.1 in November, marking the eleventh consecutive month above the 50.0 threshold that signifies progress.

The preliminary survey compiled by S&P World within the euro zone two weeks in the past confirmed a contraction of financial exercise in December.

The efficiency of Spanish manufacturing was bolstered by a sturdy demand setting, with notable will increase in new export orders, notably from Europe and North Africa. This energy in demand prompted companies to ramp up manufacturing and enhance staffing ranges for the fourth consecutive month.

Regardless of the optimistic output, companies confronted challenges with provide chain disruptions, partly as a consequence of lethal floods in late October.

Enter worth inflation reached its quickest degree in 5 months, pushed by a powerful U.S. greenback which lifted up the price of imported items.

“Spain demonstrates resilience towards the European weak spot within the manufacturing sector… The manufacturing in Spain’s manufacturing sector is booming because of a powerful order scenario,” Jonas Feldhusen, an economist at Hamburg Industrial Financial institution, mentioned within the S&P report.

Trying forward, Spanish producers are optimistic, with confidence within the financial outlook enhancing to its highest since Might 2024.

The nation’s central financial institution on Dec. 17 raised its financial progress forecast for the complete yr to three.1% from a earlier 2.8%. The economic system grew 2.5% in 2023.