German Manufacturing PMI Hits 48.3 in March

German Manufacturing PMI Hits 48.3 in March

Germany’s Flash Manufacturing PMI for March 2025 rose to 48.3, up from 46.5 in February, marking the highest level in 31 months. This improvement signals a notable recovery in industrial production and increasing demand within the sector.

The Composite PMI, which measures overall private sector activity, increased to 50.9 from 50.4 in February, reaching a 10-month high. This growth was primarily driven by improvements in manufacturing, offsetting weaker expansion in the services sector.

However, the Services PMI declined slightly to 50.2, the lowest level in four months, suggesting a slowdown in service sector growth.

Additionally, inflationary pressures showed signs of easing, with both input costs and output prices rising at their slowest pace since October 2024.