UK Manufacturing Growth Reaches Four-Year High Despite Cost Pressures

(MENAFN) Manufacturing activity in the United Kingdom climbed to its strongest level in four years in May, continuing its expansion streak even as businesses faced higher costs and ongoing supply chain pressures.

According to reports from S&P Global, the UK Manufacturing Purchasing Managers’ Index (PMI) rose slightly to 53.9 in May from 53.7 in April. The reading remained above the 50-point mark that separates growth from contraction, marking the seventh consecutive month of expansion.

The improvement was driven by increased production and stronger new orders, with exporters reporting higher demand from markets including China, Europe, Japan, North America, and South Korea.

However, manufacturers continued to face significant challenges on the cost side, as input prices rose at the fastest pace in nearly four years. Firms also reported continued disruptions in supply chains, with delays linked in part to tensions in the Middle East and restrictions affecting shipping routes through the Strait of Hormuz.

According to reports, S&P Global Market Intelligence economist Rob Dobson said the sector’s recovery gained further momentum in May, with both output growth and business confidence reaching their highest levels in three months.

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