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Turkish manufacturing activity expands at stronger pace in January: PMI

February 1, 2021
in Markets & Economy
0

The recovery of Turkey’s manufacturing sector continued in January, a survey showed on Feb. 1, as output, new orders and exports all showed growth following the second wave of the coronavirus outbreak and initial vaccine rollouts.

The headline index reading rose to 54.4 in January from 50.8 a month earlier, data from the Istanbul Chamber of Industry and IHS Markit showed, staying above the 50 mark that separates expansion from contraction.

Output returned to growth following a two-month sequence of moderation caused by a renewed wave of the coronavirus outbreak, the panel said. Higher new orders and coronavirus vaccine news contributed to the rise in production, it said.

The growth in new orders led firms to hire more staff, the panel said, with staffing levels rising at fastest pace in over three years.

Input costs continued to rise sharply, according to the panel as firms experienced severe disruptions to supply chains with delays linked to raw material shortages.

“Data highlighted a positive start to the year for the Turkish manufacturing sector… The key highlight from the latest survey was a sharp rise in employment,” said Andrew Harker, economics director at IHS Markit.

“Positive vaccine news contributed to the more buoyant picture in January. As with economies all over the world, the near-term fortunes of the sector will depend on developments related to the pandemic and vaccine roll-out.”

Hurriyet Daily News

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