Czech Manufacturing Growth Sustained by New Orders and Robust Hiring

Key Facts

1The Czech industrial PMI remains in expansionary territory despite a soft correction.

2Strong hiring and new orders supported the economy, while rising input costs pressure profit margins.

The Czech industrial PMI remained in expansionary territory during September 2026, recording 53.5 points despite a soft correction. ING reported that strong hiring and new orders from both domestic and international customers supported the economy, noting that the pace of job creation was the fastest in nearly four and a half years.

Higher production levels and increased demand bolstered confidence in output growth for the coming year, while rising input costs, particularly for energy and basic materials, are pressuring corporate profit margins. According to ING, firms faced challenges including extended delivery times and supply shortages due to transport delays, which intensified price pressures at the start of the production cycle.