Factories witness early signs of demand recovery, survey suggest

The overall reading rose to 50.1 from 47.4 in June, where any reading above 50 means that manufacturing has expanded in the month.

Manufactures said they witnessed weak demand from key markets in the US, UK and Germany but factories worked through stocks of both inputs and finished goods at a faster pace due to the lack of new orders. - Picture: David Creedon

Operating conditions for Irish factories stabilised enough to end a four-month period of deterioration, putting the sector back in expansion territory, according to a leading survey.

AIB’s Manufacturing Purchasing Managers Index (PMI) for July suggested early signs of recovery in demand, but cost burdens also increased, which could lead to higher prices further down the supply chain.