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    Home » UK Manufacturing Output and New Order Growth Rate Eased to Four-Month Lows
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    UK Manufacturing Output and New Order Growth Rate Eased to Four-Month Lows

    August 2, 20211 Min Read
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    The UK manufacturing rebound remained strong in July, but the rates of expansion in output and new orders slowed.

    • Scarcities remained a major concern as stretched supply chains and staff shortages continued to prevent the faster growth of output and employment.
    • The seasonally adjusted IHS Markit PMI was 60.4 in July, down further from May’s record high 60.4. The PMI has indicated expansion for 14 months, but growth slowed across the consumer, intermediate, and investment goods industries.
    • Manufacturing production rose for the 14th consecutive month in July as companies benefited from increased new order intakes, rising client confidence, and the re-opening of the economy.
    • New business inflows reflected stronger demand from domestic and overseas markets. There were reports of clients bringing forward purchases to protect against supply chain challenges.

    July saw an additional increase in new export business, but scarcities, shortages, and price rises remained prominent challenges faced by UK manufacturers during July.

    FTSE 250 Index up 0.86%, EUR USD gains +0.11%.

    Source: IHS Markit

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