The results of the February 2025 period of the Istanbul Chamber of Industry (ISO), which is considered the fastest and fastest and reliable reference in manufacturing industry performance, which is the pioneering indicator of economic growth, were announced. According to the survey results of all numbers measured over 50.0, which is the threshold value, pointed out to the healing of the sector, the headline PMI, which was 48.0 in January, was 48.3 with a slight increase in February, but it remained below 50.0 threshold value and pointed to slowing down in the mid -first quarter of the first quarter. The operating conditions of the sector have been in the contraction zone since April 2024.
While the survey participants reported that the demand conditions were weak in February, this led to the continuation of acceleration loss in production and new orders. The slowdown in the new orders in a row in a row, despite its alleviation compared to January, was also significantly recorded at a significant level. Slimming was observed in external demand conditions and new export orders have been the hardest deterioration since October 2024.
In February, production was observed in production as well as new orders. The tendency to slow down with the latest data reached the 11th month, while the last decline was moderate and lighter than the previous month. The inadequacy of new orders led to reduce manufacturers’ employment and purchasing activities in February. The decline in both items was more pronounced than January.
Input and final product stocks of companies were also observed. Input costs inflation gained momentum for the third time in a row in February. This strong increase was due to the rise in raw materials and personnel costs as well as weakness in the Turkish Lira. Depending on increasing input costs, the increase in final product prices has accelerated and inflation has reached the highest level of the last five months. The delivery periods of the suppliers also increased moderately in February. Companies have attributed delays to price increases and geopolitical problems.
Istanbul Chamber of Industry Türkiye Manufacturing PMI Survey Data S&P Global Market Intelligence Economy Director Andrew Harker, said:
“The Turkish manufacturing sector continued to have difficulty in gaining momentum in the beginning of 2025 and the companies faced additional difficulties in receiving new orders in February. In this respect, manufacturers were reluctant to increase employment or to reserve resources for the purchase of new materials. The faster rise of both input costs and the final product prices showed that inflation -related problems continue. This can make it more difficult for companies to get new jobs in the near term. ”
According to Sectoral PMI, new orders have fallen in nine sectors
According to the Istanbul Chamber of Industry Türkiye Sectoral PMI February 2025 report, the new orders of nine of the ten sectors followed in February declined. The only exception of this trend was food products that exhibited growth at four of the last five months. The sharpest decreases took place in clothing and leather products and textile sectors. On the export side, a slight more positive picture emerged compared to total new orders. The expansion of new export orders of the three sectors was observed. The most powerful increase was in tree and paper products. Depending on the weak course in demand, the increase in production in February was limited to only two sectors. The main metal industry, where production has increased for the first time since May 2023, took part in the growth zone with food products. The most significant slowdown in production was recorded in the textile sector.
The number of sectors that increased its employment increased to three in February in January and recorded slightly improved. The most powerful increase in employment took place in land and sea vehicles where the number of personnel was strongly recovered after a two -month decline. Textile products, on the other hand, was the sector that reduces its employment in the fastest decrease in the generally ongoing challenges.
Food manufacturers have expanded their purchasing activities due to the increases seen in new orders and production requirements. However, the improvement in the purchase volume was limited to this sector. In non -metallic mineral products, input purchases watched horizontally by putting an end to the decrease tendency.
The limited demand for the inputs led to the shortening of the delivery periods of the suppliers in half of the ten sectors followed within the scope of the survey. Input costs were high inflation and gained momentum from six sectors. The sharpest rise took place in the tree and paper products where inflation reached a 18 -month summit. The slowest in input prices was seen in non -metallic mineral products. The fastest and slowest increases in sales prices were recorded in these two sectors. Final Product Prices Inflation has also increased in six sectors followed within the scope of the report.
