FX.co ★ German Manufacturing Expands for First Time Since 2022

The HCOB Germany Manufacturing PMI rose to 50.7 in February 2026, up from 49.1 and beating market expectations of 49.5, according to a preliminary estimate. Crossing above the 50-point mark indicates that Germany’s manufacturing sector expanded for the first time since June 2022.

Production increased for a second consecutive month, registering its strongest pace since October, while new orders saw their fastest growth in nearly four years, supported by a renewed pickup in export demand. Backlogs of work rose for the first time since May 2022. Although employment continued to fall, the rate of job losses was the second-slowest in almost two and a half years.

On the price front, input costs rose for the third month in a row, at the fastest pace since December 2022. Output prices also edged higher, albeit only slightly, bringing an end to a three-month sequence of declines.