Global Manufacturing Index Hits 53.0 in September, Highest Since February 2022
Key Facts
The JPMorgan Global Manufacturing Index registered 53.0 points in September 2026, its highest level since February 2022, according to S&P Global. The reading reflected an improvement in factory activity ahead of the release of October figures, which could not be verified in the available materials. S&P Global comparisons with official data estimated that the output index pointed to annual growth of nearly 4% in global industrial production in September. That was the fastest pace since July 2021. But the improvement coincided with a rise in global input costs, keeping price pressures in view alongside the expansion in activity.
S&P Global said demand for goods improved during 2026, driven by increased spending on AI infrastructure and defense equipment. It added that stockpiling in anticipation of prices and supply conditions also helped support demand. These factors link spending on technology and defense investment with improved industrial demand. This comes as companies monitor the availability and cost of supplies. The organization said these developments together supported demand for goods during the year.
On prices, input costs for factories worldwide rose at a slightly faster pace in September, according to S&P Global. Although the increase remained below the peaks recorded in the early months of the war in the Middle East, the inflation rate remained high. The organization described it as the fifth-highest rate in the past four years. These pressures stand alongside the improvement in activity and demand, pointing to the continuing challenge factories face in managing production costs. The available facts did not include figures on the pass-through of those costs to selling prices or their impact on companies' margins worldwide.
In October, global manufacturing activity remained resilient, but factories faced mounting pressure from higher energy costs and supply chain disruption, Reuters reported, citing a report published via Investing.com. The report said supply disruptions squeezed margins. In the euro zone, the manufacturing index fell to 52.7 points in October from 52.9 in September, but came in above the preliminary estimate of 52.4. The region's factory output index fell to 52.8 from 53.6, its lowest level in four months, while remaining above its long-term average. The regional data show continued expansion, with output slowing from the previous month.
In the United States, factory output continued to expand in October, driven by strong demand for AI-related equipment, according to Axios. The report noted that this demand is also straining supply chains and pushing costs higher. This picture places U.S. activity in the context of the improvement in industrial demand that S&P Global tracked worldwide during 2026, including spending on AI infrastructure. However, U.S. manufacturing data alone do not establish how growth is distributed across economies or sectors globally. Among the upcoming economic releases, the U.S. October jobs report is due on November 6.