The AIB Ireland Manufacturing PMI dropped to 49.5 in December 2019 from 49.7 in the prior month. The latest reading signalled the sixth straight month of deterioration in business conditions, the longest downturn since the second half of 2011 through to early 2012. New orders dropped, following a two-month spell of marginal growth, amid subdued demand from the UK. New export orders declined for the sixth straight month, and the second-fastest rate in over ten years. Output also fell further, as firms tried to control rising stock levels. Meantime, employment shrank for second month in a row, though marginally. On the price front, purchase price continued to rise, extending the current sequence of increases to 44 months. However, output price inflation was little-changed from November. Lastly, confidence improved to a six-month high, linked to new product launches, improving US and European demand and reduced Brexit uncertainty. Manufacturing PMI in Ireland averaged 53.53 from 2011 until 2019, reaching an all time high of 59.10 in December of 2017 and a record low of 48.20 in January of 2012. source: Markit Economics
Manufacturing PMI in Ireland is expected to be 51.00 by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Manufacturing PMI in Ireland to stand at 54.00 in 12 months time. In the long-term, the Ireland Manufacturing PMI is projected to trend around 54.00 in 2020, according to our econometric models.