Czech industry downturn slows, first rise in new orders since 2022

Conditions in the Czech manufacturing sector worsened again in April, but at the slowest pace since June 2022. The Purchasing Managers’ Index (PMI) rose to nearly 49 points from slightly above 48 in March, edging closer to the 50-point threshold that separates growth from decline. The improvement was mainly due to a modest increase in new orders, breaking a 37-month streak of contraction. According to S&P Global, manufacturers remain cautious amid global uncertainty and U.S. tariffs, which continue to impact trade competitiveness. While optimism persists for the year ahead, analysts warn that any sustained recovery will likely not arrive before the second half of 2025.