{"id":6771,"date":"2025-07-24T10:44:13","date_gmt":"2025-07-24T10:44:13","guid":{"rendered":"https:\/\/otetmarkets.com\/blog\/?p=6771"},"modified":"2025-07-24T10:44:14","modified_gmt":"2025-07-24T10:44:14","slug":"uk-manufacturing-pmi-july-2025","status":"publish","type":"post","link":"https:\/\/otetmarkets.com\/blog\/news\/uk-manufacturing-pmi-july-2025\/","title":{"rendered":"UK Manufacturing PMI Rises to 6-Month High, But Sector Remains in Contraction"},"content":{"rendered":"\n<h2 class=\"wp-block-heading\" id=\"h-key-takeaways\"><br><strong>\ud83d\udccc Key Takeaways<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>UK Manufacturing PMI rose to 48.2<\/strong> in July, up from 47.7 in June<\/li>\n\n\n\n<li>Output stabilized after eight straight months of contraction<\/li>\n\n\n\n<li>US tariffs continued to delay export orders and investment decisions<\/li>\n\n\n\n<li>New orders declined, and <strong>job cuts accelerated<\/strong><\/li>\n\n\n\n<li>Both <strong>input and output prices rose<\/strong>, adding inflationary pressure<\/li>\n\n\n\n<li>Business confidence remains weak amid domestic and global uncertainty<\/li>\n<\/ul>\n\n\n\n<figure class=\"wp-block-video\">\n  <a href=\"https:\/\/otetmarkets.com\/prblog\" target=\"_blank\">\n    <video height=\"500\" style=\"aspect-ratio: 1312 \/ 500;\" width=\"1312\" autoplay loop muted playsinline>\n      <source src=\"https:\/\/otetmarkets.com\/blog\/wp-content\/uploads\/2025\/04\/Otet-Banner-en-2.mp4\" type=\"video\/mp4\">\n      Your browser does not support the video tag.\n    <\/video>\n  <\/a>\n<\/figure>\n\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-uk-manufacturing-pmi-improves-slightly-in-july-2025\"><br><strong>UK Manufacturing PMI Improves Slightly in July 2025<\/strong><\/h2>\n\n\n\n<p>The <strong>UK Manufacturing PMI<\/strong> rose to <strong>48.2 in July 2025<\/strong>, according to S&amp;P Global\u2019s preliminary estimate. Although the index remains below the 50 threshold that separates growth from contraction, this was the <strong>mildest decline in factory activity since January<\/strong>, slightly beating expectations of 48.0.<\/p>\n\n\n\n<p>The improvement was driven by a <strong>stabilization in output<\/strong>, which marked an end to an eight-month streak of falling production. However, new order volumes <strong>continued to decline<\/strong>, and <strong>employment cuts accelerated<\/strong>, signaling lingering weakness.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"482\" src=\"https:\/\/otetmarkets.com\/blog\/wp-content\/uploads\/2025\/07\/slider-photo-63-1024x482.webp\" alt=\"uk manufacturing pmi july\" class=\"wp-image-6774\" srcset=\"https:\/\/otetmarkets.com\/blog\/wp-content\/uploads\/2025\/07\/slider-photo-63-1024x482.webp 1024w, https:\/\/otetmarkets.com\/blog\/wp-content\/uploads\/2025\/07\/slider-photo-63-300x141.webp 300w, https:\/\/otetmarkets.com\/blog\/wp-content\/uploads\/2025\/07\/slider-photo-63-768x361.webp 768w, https:\/\/otetmarkets.com\/blog\/wp-content\/uploads\/2025\/07\/slider-photo-63.webp 1312w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-us-trade-policy-weighs-on-uk-orders\"><br><strong>US Trade Policy Weighs on UK Orders<\/strong><\/h3>\n\n\n\n<p>Many firms cited <strong>U.S. tariffs<\/strong> as a key reason for <strong>delayed export spending<\/strong> and contract postponements. The impact was particularly evident in high-value manufacturing sectors, where clients in North America are waiting for policy clarity.<\/p>\n\n\n\n<p>\u201cExporters are hesitant to commit under ongoing trade uncertainty,\u201d one survey respondent noted. The lack of momentum in <strong>new business<\/strong> reflects broader global hesitancy, with <strong>geopolitical tensions<\/strong> and <strong>weak domestic demand<\/strong> acting as major headwinds.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><strong>Read More: <a href=\"https:\/\/otetmarkets.com\/blog\/news\/uk-manufacturing-pmi-april-2025\/\" target=\"_blank\" rel=\"noreferrer noopener\">UK Manufacturing PMI Falls Sharply in April<\/a><\/strong><\/p>\n<\/blockquote>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-inflation-pressures-and-muted-optimism\"><br><strong>\ud83d\udcb8 Inflation Pressures and Muted Optimism<\/strong><\/h3>\n\n\n\n<p>Input costs and output prices <strong>both increased<\/strong> in July, adding pressure to already tight margins. This price rise, coupled with falling demand, has created a <strong>challenging environment<\/strong> for many firms.<\/p>\n\n\n\n<p>Confidence levels among manufacturers remained subdued. While some businesses are optimistic due to <strong>rising defense-related demand<\/strong>, most are still cautious because of <strong>persistent cost pressures<\/strong>, <strong>political instability<\/strong>, and a <strong>fragile global trade landscape<\/strong>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-summary-table-uk-manufacturing-pmi-data\"><br><strong>\ud83d\udcca Summary Table: UK Manufacturing PMI Data<\/strong><\/h2>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><thead><tr><th><strong>Indicator<\/strong><\/th><th><strong>June 2025<\/strong><\/th><th><strong>July 2025 (Prelim)<\/strong><\/th><\/tr><\/thead><tbody><tr><td>Manufacturing PMI<\/td><td>47.7<\/td><td>48.2<\/td><\/tr><tr><td>Output<\/td><td>Contracting<\/td><td>Stabilized<\/td><\/tr><tr><td>New Orders<\/td><td>Falling<\/td><td>Falling<\/td><\/tr><tr><td>Employment<\/td><td>Falling<\/td><td>Falling Faster<\/td><\/tr><tr><td>Input Prices<\/td><td>Rising<\/td><td>Rising<\/td><\/tr><tr><td>Business Confidence<\/td><td>Low<\/td><td>Low<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-outlook-mild-improvement-but-recovery-not-yet-in-sight\"><br><strong>\ud83d\udcc9 Outlook: Mild Improvement, but Recovery Not Yet in Sight<\/strong><\/h2>\n\n\n\n<p>While the <strong>July PMI uptick<\/strong> offers a glimmer of hope, the broader message is one of <strong>continued caution<\/strong>. Manufacturing activity is <strong>contracting at a slower pace<\/strong>, but structural challenges remain, including <strong>international trade disruptions<\/strong>, <strong>inflationary input costs<\/strong>, and <strong>policy-driven uncertainty<\/strong>.<\/p>\n\n\n\n<p><strong>Will the UK\u2019s manufacturing sector recover later this year or is more turbulence ahead? \ud83d\udcc9<br>Share your thoughts and follow us for more economic updates!<\/strong><\/p>\n\n\n\n<p><a href=\"https:\/\/tradingeconomics.com\/united-kingdom\/manufacturing-pmi\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>\ud83d\udccc Key Takeaways UK Manufacturing PMI Improves Slightly in July 2025 The UK Manufacturing PMI rose to 48.2 in July 2025, according to S&amp;P Global\u2019s preliminary estimate. Although the index remains below the 50 threshold that separates growth from contraction, this was the mildest decline in factory activity since January, slightly beating expectations of 48.0. [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":6773,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[24,2],"tags":[37],"class_list":["post-6771","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-global-economy-news","category-news","tag-financialnews"],"_links":{"self":[{"href":"https:\/\/otetmarkets.com\/blog\/wp-json\/wp\/v2\/posts\/6771","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/otetmarkets.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/otetmarkets.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/otetmarkets.com\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/otetmarkets.com\/blog\/wp-json\/wp\/v2\/comments?post=6771"}],"version-history":[{"count":1,"href":"https:\/\/otetmarkets.com\/blog\/wp-json\/wp\/v2\/posts\/6771\/revisions"}],"predecessor-version":[{"id":6775,"href":"https:\/\/otetmarkets.com\/blog\/wp-json\/wp\/v2\/posts\/6771\/revisions\/6775"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/otetmarkets.com\/blog\/wp-json\/wp\/v2\/media\/6773"}],"wp:attachment":[{"href":"https:\/\/otetmarkets.com\/blog\/wp-json\/wp\/v2\/media?parent=6771"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/otetmarkets.com\/blog\/wp-json\/wp\/v2\/categories?post=6771"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/otetmarkets.com\/blog\/wp-json\/wp\/v2\/tags?post=6771"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}