The Dutch manufacturing sector grew at the fastest pace in nearly two-and-a-half years in February, survey results from IHS Markit showed on Monday.
The NEVI manufacturing Purchasing Managers’ Index, or PMI, rose to 59.6 in February from 58.8 in January. Any reading above 50.0 indicates expansion in the sector.
The latest expansion in the sector was the highest since September 2018.
Output and order book volume grew for the seventh month in a row in February. Production expanded at a softer pace.
The purchasing activity increased in February and pre-production inventories rose at the fastest pace since December 2018. Suppliers’ delivery time lengthened to the greatest extend on record.
Backlogs of work increased further in February and the rate of accumulation was the quickest since December 2017. Firms increased employment level at the quickest pace for a year.
On the price front, costs increased at the steepest rate since April 2011 and firms rose the average selling prices at the second fastest pace or over two years.
The 12-month outlook for output remained historically high in February.
“At the start of the pandemic, shortages caused by the lockdown in China led to a standstill of production in car manufacturing, a sector that mostly relies on just-in-time manufacturing with limited inventories,” Albert Jan Swart, manufacturing sector economist at ABN AMRO, said.
The material has been provided by InstaForex Company – www.instaforex.com