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The AIB Ireland Manufacturing report found “only a marginal upturn” in manufacturing conditions, reflected a stagnation in production volumes alongside weaker rates of new order growth and job creation. The latest survey data indicated that inflationary pressures moderated in October, with input costs and prices charged both rising at the slowest rates since May 2024. Manufacturers still remain upbeat about the year ahead business outlook even if confidence levels slipped to a three-month low. Despite easing since September, the pace of job creation remained stronger than the long-run survey average. Goods producers commented on long-term business expansion plans, although some noted staff shortages and difficulties finding suitably skilled candidates. Advertisement New orders and purchases The AIB figures are based on indicators for new orders, output, employment, suppliers’ delivery times and stocks of purchases. October’s figure of 50.9 was down from 51.8 in September. Any figure greater than 50.0 indicates overall improvement of the sector. The decline reflected weaker contributions from all five areas studied. “October data indicated that production volumes stagnated across the Irish manufacturing sector, which ended a nine-month period of sustained expansion,” the AIB report said. Commenting on the survey results, AIB Chief Economist David McNamara said that respondents cited subdued demand, leading to the stagnation. “Respondents cited weakness in European export markets as the key driver of the fall in export orders. Encouragingly, employment continued to expand, extending the current period of growth to 11 months,” McNamara said. “However, the pace of growth eased as some firms noted skill shortages holding back hiring.” Readers like you are keeping these stories free for everyone... A mix of advertising and supporting contributions helps keep paywalls away from valuable information like this article. Over 5,000 readers like you have already stepped up and support us with a monthly payment or a once-off donation. Support The Journal Eoghan Dalton Send Tip or Correction Embed this post To embed this post, copy the code below on your site Email “Stagnation hitting manufacturing despite small improvement, says AIB report ”. Recipient's Email Feedback on “Stagnation hitting manufacturing despite small improvement, says AIB report ”. Your Feedback Your Email (optional) Report a Comment Please select the reason for reporting this comment. Please give full details of the problem with the comment... 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