Eurozone manufacturing sector: January PMI shows movement towards recovery

At the beginning of the year, the eurozone manufacturing industry, which is going through difficult times, began to show signs of stabilization. Despite the increased costs and the risk of US tariffs, the region's enterprises have become more optimistic about their future.

The January final PMI index for the eurozone manufacturing sector, prepared by S&P Global, reached 46.6. This indicator was higher than the preliminary forecast of 46.1 and approached the key level of 50, separating growth from recession.

Since mid-2022, the index value has been kept below 50, reflecting the ongoing decline in the industry, and in December it dropped to 45.1 altogether. However, the January dynamics showed an improvement, which may indicate a possible stabilization of the situation in the sector.