FX.co ★ Turkey Manufacturing Activity Falls to 5-Month Low

The Istanbul Chamber of Industry reported that Turkey's Manufacturing PMI decreased to 47.3 in March 2025, down from 48.3 in February. This decline signals the twelfth month in a row of negative performance, marking the most significant contraction since October 2024. This downturn is primarily attributed to a persistent reduction in new orders, which have now been on the decline for twenty-one months, with the most significant drop also recorded since October 2024 due to challenging market conditions. Correspondingly, production has continued its downward trend over the past year, with March experiencing the steepest decrease since October 2024. Consequently, companies have been downsizing their workforce for the fourth month in succession, with March's reduction being the most significant since last December. On the inventory front, levels of raw materials and finished goods have remained stable. Regarding pricing, input costs saw a pronounced increase in March 2025, driven by currency depreciation, while the rise in output prices was more moderate, marking the slowest increase of the year so far.