Germany's final manufacturing PMI rose to 54.3 in August from 52.2 in July,
slightly above the preliminary 54.1. New orders increased for a third
consecutive months, driving manufacturing output to its strongest pace since
January 2022. Firms cited defense spending, data‑centre construction and
inventory restocking as demand drivers. Supply pressure intensified: supplier
delivery times lengthened to a three‑month high and input purchasing rose at the
fastest pace since May 2022 as firms sought to secure supplies. Phil Smith,
deputy director of economics at S&P Global Market Intelligence, said growth was
led by intermediate goods, suggesting safety stocks are supporting activity, and
that firms' confidence in output over the next year has risen to its highest
level since the outbreak of the Middle East conflict.
