Netherlands: Manufacturing PMI signals continued expansion in April
May 1, 2017
The NEVI Manufacturing Purchasing Managers’ Index (PMI), produced by IHS Markit and NEVI, came in at 57.8 in April, the same reading registered in the prior month. The PMI thus remained comfortably above the 50-point threshold that separates expansion from contraction in the manufacturing sector.
April’s result reflected a strong expansion in output and new orders, albeit at a slightly slower pace than in March, with Dutch firms enjoying greater demand for their products. Export order growth remain vibrant, with demand rising in Europe and Asia. This pushed manufacturers to increase their purchasing activity and hire more staff. Regarding price developments, input price growth eased somewhat to a four-month low, despite still remaining fairly elevated due to higher raw material prices.
Sam Teague, Economist at IHS Markit, commented, “the five-month sequence of accelerating factory gate price inflation also ended in April as the rate of increase in output prices dipped, the ease in inflation further sweetening the latest survey results. Manufacturers’ confidence remained high, which was justified by growth of demand in both domestic and foreign markets.”