Unhappy New Year for German manufacturing, PMI data shows [Video]

Germany’s manufacturing confidence was dented at the end of 2024, according to the latest Purchasing Managers Index (PMI) figures.

The current PMI rating stands at 42.5 for December, compared to 43 for October and November. Ratings above 50.0 indicate economic growth.

The disappointing figure is leading analysts to hold off on predicting anything other than the cycle of stagnation and recession that Germany has been unable to evade since the global COVID pandemic.

The numbers released on Thursday by Hamburg Commercial Bank (HCOB) show a drop-off in output and new orders. This was particularly stark regarding the intermediate goods category, which includes components manufactured in Germany and exported to supply chains around the world.

HCOB chief economist Cyrus de la Rubia told Reuters that confidence in intermediate goods had seen its steepest decline in a year and painted a bleak picture. “Production is on a steep decline, and new orders …