UK Manufacturing PMI Shows Slight Improvement but Sector Remains Under Pressure

In April, the UK manufacturing sector experienced a slight uptick in the S&P Global Manufacturing PMI, rising to 45.4 from March's 44.9. Despite this minor improvement, the sector continues to face significant challenges.

Declines in Output, New Orders, and Employment

The latest data reveals concerning trends, including declines in output, new orders, and employment. Manufacturers are grappling with worsening market conditions, diminished client confidence, and increased uncertainty, particularly regarding potential US tariffs.

Sharp Drop in Export Demand

Export demand has plummeted at the fastest rate in nearly five years, with significant reductions in orders from key markets such as the US, Europe, and China. Rob Dobson, Director at S&P Global Market Intelligence, notes the adverse impact of global market conditions and the noticeable effect of US tariff announcements on international trade.