PRAG (dpa-AFX) - Czech factory activity logged further robust expansion in April despite marked supply-chain disruption caused by the Middle East war, survey data from S&P Global showed on Monday.
The purchasing managers' index, or PMI, for the manufacturing sector rose slightly to 52.9 in April from 52.8 in March. A reading above 50 suggests expansion.
The strong growth was supported by expansions in output and new orders, as domestic and external client demand was sustained.
Czech manufacturers faced disruption to supply chains amid re-routed logistics and difficulty receiving orders from Asia. They also reduced workforce numbers due to the combined result of cost-cutting plans and the non-replacement of voluntary leavers.
On the price front, input price inflation accelerated to the highest since May 2022, led by transportation surcharges and material shortages. Consequently, selling price inflation rose to the highest since January 2023.
Looking ahead, business confidence dipped on concerns regarding the war in the Middle East and uncertainty in global markets.
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