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Manufacturing & engineering

UK manufacturing contracts again as Red Sea disrupts output

UK manufacturers saw another decline in February after Houthi attacks in the Red Sea caused prices to increase as deliveries were delayed.

The S&P Global UK manufacturing PMI came in at 47.5 for last month, rising to the highest level in ten months and increasing on flash figures of 47.1.

Despite the rise, the figure being below 50 means output has contracted for 19 consecutive months.

Rob Dobson, director at S&P Global, said: "UK manufacturers faced challenging circumstances in February, as the ongoing impact of the Red Sea crisis delayed raw material deliveries, inflated purchase prices and impacted production capabilities.

"Production volumes subsequently contracted for the twelfth successive month while total new orders fell at the sharpest rate since October.

"The impacts were felt particularly hard on the price and supply fronts. Input cost inflation hit an 11-month high, leading to a further increase in selling prices."

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