Feb global manufacturing input costs rise fastest since 2022: S&P GMI

The global manufacturing PMI input prices index rose from 56.4 in January to 57.3, indicating an acceleration of worldwide factory input cost inflation for a fourth successive month.

Only two economies, Thailand and the Philippines reported lower factory input costs in February, while the largest increase by far was reported in Taiwan, linked by many purchasing managers to demand exceeding supply, causing a lengthening of supplier lead times.

Prices in China rose at the sharpest rate since June 2022, contributing to the steepest rise in pan-Asia prices since October 2022.

Eurozone input cost inflation hit the highest since December 2022 and US prices also continued to rise sharply, albeit the rate of increase down from 2025 highs, often blamed on tariffs.

The rise in global prices also coincided with a lengthening of suppliers' delivery times worldwide to one of the greatest extents since the pandemic-related supply constraints of 2022.

Only three economies, India, China and Italy reported faster delivery times in February. The longest/most widespread delays were seen in Myanmar and Australia.

However, delays across Asia excluding China have risen to the highest since January 2023, and recent months have seen delays in Europe extending out to their greatest since 2022.

While US delays were also the most pronounced since 2022, this was in part due to adverse weather, a release from S&P GMI said.

While supplier delivery times have lengthened, the overall incidence of delays remains far lower than seen during the COVID-19 shutdowns. However, the PMI data for February were collected prior to the US-Israeli attacks on Iran and the ensuing escalation of conflict in the Middle East.

Since the attacks, energy prices have risen sharply and supply chains have been disrupted, notably via concerns over attacks on shipping through the Strait of Hormuz.

S&P GMI notes that the rise in manufacturing costs was neither a reflection of energy prices nor shipping costs, suggesting these factors could add to inflation pressures in the March survey, exacerbating the existing price drivers of rising labour costs and a broader rise in raw material prices.

Fibre2Fashion News Desk (DS)