Turkey Manufacturing PMI Rises in May 2024 as Sector Nears Stabilisation
Turkey's Manufacturing Sector Performance in May 2024
PMI Data and Key Survey Findings
ISTANBUL, June 1 (Reuters) - Turkey's manufacturing sector neared stabilisation in May as output returned to growth and export orders rose for the first time in 21 months, a business survey showed on Monday.
The Istanbul Chamber of Industry Turkey Manufacturing Purchasing Managers' Index (PMI), compiled by S&P Global, rose to 49.8 in May from 45.7 in April, a survey by S&P Global showed. The 50-mark separates growth from contraction.
The May reading was the highest since March 2024.
Expert Commentary on Sector Trends
"The Turkish manufacturing sector moved in a more positive direction in May as renewed growth of exports helped to support a slight rise in production," said Andrew Harker, Economics Director at S&P Global Market Intelligence.
Production, Orders, and Employment Overview
Production increased in May after a sharp slowdown in April. New export orders rose, ending a 20-month run of decline, while total new business still eased slightly as firms cited uncertainty, higher prices and the war in the Middle East.
Employment fell again, but at the slowest pace so far in 2026. Firms also increased purchasing activity for the first time in just over two years, partly to build safety stocks as prices rose and supply chains were disrupted.
Input Costs, Supply Chains, and Outlook
Input costs continued to rise sharply, with firms citing higher fuel, oil, metals and transportation prices, though both input cost and output price inflation eased. Suppliers' delivery times lengthened for a seventh consecutive month.
"There is some question therefore as to whether the expansions seen in May can be sustained given ongoing sharp rises in input costs and supply-chain delays. Much will likely depend on whether total new orders can join exports in growth territory in the months ahead," Harker also said.
Reporting Credits
(Reporting by Ezgi Erkoyun; Editing by Toby Chopra)
