CdM | The eurozone manufacturing sector expanded once again. However, the pace of growth remained steady, according to the PMI index. In fact, although October marked the eighth consecutive monthly expansion, the pace of growth was moderate overall and slightly weaker than the average observed during the current expansion sequence. ‘We can speak, at best, of an incipient outbreak of economic recovery.’
‘Production has increased for the eighth consecutive month, but there is no real momentum, as it is growing at virtually the same moderate pace as in previous months. Meanwhile, demand in the eurozone economy remained limited and new orders remained at the same level as the previous month,’ according to Hamburg Commercial Bank.
Specifically, the eurozone manufacturing PMI index registered 50 in October, indicating no change in operating conditions compared to the previous month. This stagnation follows a slight contraction in September (49.8).
In detail, higher production levels were achieved despite the stagnation in new orders. In the last three and a half years, demand for eurozone products increased in only one month (August 2025). New export orders continued to weigh on factory sales, declining for the fourth consecutive month.
Eurozone manufacturers reported lower employment levels in October, extending the current sequence of job losses to almost two and a half years. The pace of decline accelerated slightly and was the most pronounced since June. However, outstanding orders declined, indicating no pressure on capacity. The pace of reduction was moderate and the slowest in three months.
