FX.co ★ Irish Manufacturing Activity Recovers In January

The manufacturing sector in Ireland saw growth in January for the first time in three months, driven by a resurgence in new orders and output, according to S&P Global's survey findings released on Tuesday.

The AIB Manufacturing Purchasing Managers' Index climbed to 51.3 in January from 49.1 in December. This index above 50 indicates expansion in the sector, whereas a figure below 50 suggests a contraction.

New orders experienced a slight increase after declines in the preceding two months, while export orders continued to fall in January. In response to the uptick in new business, production volumes saw modest growth following a significant decrease in December.

Despite the ongoing subdued demand environment, firms continued to reduce their purchasing activity, and outstanding work levels dropped at a substantial rate, albeit at a slower pace than observed in the previous month.

Job creation in Ireland's manufacturing sector reached its highest level since August 2024.

In terms of pricing, input price inflation soared to a six-month high due to rising raw material costs, leading to a twelfth consecutive monthly increase in selling prices.