Skyline of Prague, Czech Republic

Czech Republic PMI February 2022

Czech Republic: Manufacturing PMI drops in February

The IHS Markit Manufacturing Purchasing Managers’ Index (PMI) dropped to 56.5 in February from January’s 59.0. Therefore, the index remained comfortably above the 50-threshold, signaling another strong, albeit more moderate, improvement in business conditions from the previous month.

February’s reading chiefly reflected softer increases in output and new orders, which nevertheless continued to expand sharply. Moreover, the pace of job creation and purchasing activity also moderated. On the price front, input costs continued to rise robustly amid higher costs for energy and oil-related goods, although the pace of increase softened to a one-year low. Output cost inflation decelerated in turn, logging an eight-month low increase. Lastly, sentiment regarding the outlook was the strongest since April 2018 amid optimistic projections for order book growth and hopes of a further easing of supply constraints.

Commenting on the release, Phil Smith, senior economist at IHS Markit, stated:

“The survey showed some disruption to production from Omicron as staff absences weighed on capacity, but increased demand for goods nevertheless provided a strong enough tailwind to maintain momentum, with the manufacturing sector still on course to make a positive contribution to economic growth in the first quarter.”

Free sample report

Access essential information in the shortest time possible. FocusEconomics provide hundreds of consensus forecast reports from the most reputable economic research authorities in the world.
Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest