BRUSSELS (dpa-AFX) - Austria's manufacturing sector continued to expand in June but the pace of expansion softened primarily due to a sustained reduction in new orders, survey results published by S&P Global showed Friday.
The UniCredit Bank Austria manufacturing Purchasing Managers' Index fell to 50.9 in June from 51.7 in May.
This was the fourth successive reading above the 50.0 no-change threshold, but marked the lowest in this sequence.
There was an increase in production for the fourth time in the past five months after firms' frontloaded orders to avoid disruption and price increases resulting from the Middle East conflict.
New orders declined at a faster pace in June. Export sales also decreased at similar pace, reversing the marginal increase seen in May.
Purchasing activity increased at the quickest pace since March. Stocks of purchases increased again, while post-production inventories declined slightly.
Input cost inflation remained elevated in June but ticked down from May's four-year high. Factory gate charges also increased at a slower pace.
Factory employment decreased in June and the pace of job losses was the quickest recorded since February.
Manufacturers' expectations for output growth in the next twelve months deteriorated in June. Sentiment weakened to its lowest level for a year-and-a-half.
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