FX.co ★ Irish Factory Growth Strengthens in July

The AIB Ireland Manufacturing PMI edged up to 55.1 in July 2026 from 54.9 in June, its second-highest level since May 2022, indicating another solid improvement in manufacturing conditions. Output and new orders grew at robust rates, driven primarily by stronger domestic demand, although growth in export orders slowed to its weakest pace since February amid ongoing geopolitical uncertainty.

Employment increased at the fastest rate since May 2022, as firms expanded their workforces to fulfill strong order books and boost production capacity. Purchasing activity and inventories also rose further, even as supply chains remained strained by transportation delays and raw material shortages linked to the conflict in the Middle East.

Input cost inflation eased to a five-month low, while the pace of output price inflation slowed to a four-month low. Business confidence strengthened to its highest level since February, with nearly half of manufacturers expecting output to rise over the next 12 months.