Istanbul Chamber of Industry Announces Türkiye and Istanbul Manufacturing PMI April 2019 Reports

  • 02.05.2019
  • News
PMI-nisan2019-01_ENG

Istanbul Chamber of Industry Türkiye Manufacturing PMI (Purchasing Managers Index), the most reliable reference for the manufacturing industry’s performance that is the leading indicator of economical growth was recorded as 46,8 in April and thus indicated that the activity conditions of the Turkish manufacturing sector maintains the deceleration. Deceleration trend has left the 13th month behind; however, it continued in a modest level until the mid of the term.

Istanbul Chamber of Industry Istanbul Manufacturing PMI was measured as 46,3 in April and thus it pointed out that a clear deceleration in the activity conditions of Istanbul manufacturing sector. The deceleration was observed to have been resulted from the acceleration lost in the new orders mainly.

The results of the ICI Türkiye and Istanbul Manufacturing PMI surveys, the fastest and the most reliable reference for the manufacturing industry's performance that is the leading indicator of economical growth, were declared for the term April 2019. Given that the any figure above the threshold of 50 is an indication of improvement in the industry, Istanbul Chamber of Industry Turkish Manufacturing PMI which was measured as 47,2 in March was measured as 46,8 in April and showed that the deceleration in the activity conditions of Turkish manufacturing sector continued. Deceleration trend has left the 13th month behind; however, it continued in a modest level until the mid of the term.

Manufacturing recorded decrease as the reflection of the inadequacy in new orders. Continue of the challenging demand conditions in April resulted in deceleration in both new employment and new export orders. However, the deceleration in new export orders realized in a more modest level compared to those in total new orders. While the deceleration in the manufacturing continued, the manufacturers kept the employment in the same level generally. Positive expectations and endeavors to develop new products of various firms had an impact on this incident. While the survey inputs pointed out that the most stiff increase has been experienced since last October, the firms justified this situation with the weakness of Turkish Lira for the Dollar. As a reflection, the final product prices inflation was realized in the highest speed of the last six months. As a reflection of the slowdown in the new orders, firms stated that they continued to decrease their stocks in April. In spite of the low amount of input demand, supply terms of the suppliers continued to be extended with the impact of the challenges experienced in payments.

Andrew Harker, Deputy Director of Markit, who evaluated survey data of Istanbul Chamber of Industry, Türkiye Manufacturing PMI, said: “Inadequacy in demand in Turkish manufacturing sector was clearly experienced in April and value loss in Turkish Lira caused the inflationary pressures to arise. Labor market exhibited a relatively positive appearance. While the employment showed horizontal appearance in general, the indications that the firms expecting recovery in the activity conditions in the following terms of the year focused on the future and started working on new products.”

İstanbul Manufacturing PMI became 46.3 in April

Istanbul Chamber of Industry Istanbul Manufacturing PMI which was measured as 46,6 in March was realized as 46,3 in April and thus it pointed out that a clear deceleration in the activity conditions of Istanbul manufacturing sector. Therefore, the deceleration trend in the sector left nine months behind. The deceleration experienced in activity conditions was observed to have been resulted from the acceleration lost in the new orders mainly. Firms stared that the resources of the deceleration continuing for nine months were the challenging demand conditions. New orders received from abroad lost acceleration however the acceleration lost was experienced in a more modest level compared to those in total new orders. As a reflection of the deceleration in the new orders, manufacture of Istanbul firms lost acceleration. This acceleration lost continued in parallel with the previous month and realized in the most modest level of the decrease period continuing for nine months.