Colombia Factory Activity Strengthens In June

Colombia’s Davivienda Manufacturing PMI climbed to 53.7 in June 2026 from 51.8 in May, marking the strongest improvement in factory conditions since November 2025. The upturn was primarily driven by stronger demand, with both new orders and total sales expanding at their fastest pace since last November. In response, manufacturers raised output and increased input purchases to support higher production requirements.

Employment rose for the third month in a row, with the rate of job creation reaching its highest level in 17 months. Firms reported fuller order books even as they passed on higher costs to customers, leading to a sharp and faster increase in output prices compared with May. Although input cost inflation slowed to a three-month low, it remained elevated, reflecting higher labor, raw material, oil, and transportation expenses.

Looking ahead, business confidence strengthened, underpinned by expectations of more effective marketing, new product launches, improved market conditions following the elections, and the conclusion of pending contract signings.