Latest data released by Markit - 1 June 2021
- Prior 57.7
Spanish manufacturing activity expanded at its quickest pace in 23 years as order books swelled and production rose sharply amid a turn in the economic situation in the region. The headline also marks a fourth consecutive monthly expansion in manufacturing.
Markit notes that:
"May was another stellar month for the Spanish manufacturing sector, with both new orders and output rising at rates not seen since before the global financial crisis.
"Growth is being driven by the ongoing reopening of economies and continued strength in demand, both from at home and from European neighbours.
"Production growth would likely have been higher if it were not for capacity constraints and ongoing difficulties in sourcing a wide range of inputs such as plastics, metals and timber.
"Whilst it is hoped - and expected - that these supply side challenges will eventually abate, such shortages are inevitably leading to acute inflationary pressures. And with companies buoyed by the relative strengthening of their own pricing power in recent months, factory gate prices are also rising at an unprecedented rate."