FX.co ★ Germany Manufacturing PMI Revised Higher

The S&P Global Germany Manufacturing PMI was revised sharply higher to 52.2 in March 2026, up from a preliminary estimate of 51.7 and compared with 50.9 in February. This signaled the strongest expansion in the manufacturing sector since May 2022, as both output and new orders recorded faster growth. The improvement was partly driven by stronger demand from customers seeking to hedge against potential disruption linked to the conflict in the Middle East.

At the same time, supplier performance deteriorated markedly, reflecting significant supply disruptions caused by the war, including notable delays to freight shipments from Asia. Lead times lengthened to the greatest extent since July 2022.

German manufacturers also faced a sharp increase in cost pressures. Input price inflation rose to its highest level since October 2022, driven by higher energy costs and an acceleration in factory gate prices. Additionally, supply chain delays persisted, and business expectations fell sharply, dropping to a four-month low.