“Steel manufacturing in Britain is reaching crisis point. After months of job losses, the Port Talbot news looks to be a knockout blow. Thousands of jobs are at risk as the sector struggles to compete with cheap global imports. An industry that once sat at the heart of Britain’s economy seems to be on the ropes. And uncertainty around a potential Brexit could be making things worse.
“But Britain’s wider manufacturing sector isn’t going down without a fight. While steel is punch drunk from going toe-to-toe with Chinese dumping, other areas in the sector are successfully ducking and diving in the global marketplace. Adzuna data shows that manufacturing companies are currently trying to hire people to fill almost 16,000 jobs across the UK – up 13% from the previous month. The strength and resilience of Britain’s manufacturers shouldn’t be underestimated. It might be too early for throwing in the towel – this could herald the start of the sector’s comeback.”
Markit/CIPS UK Manufacturing PMI, March 2016
- UK Manufacturing PMI at 51.0 in March, marginally up from February’s 34- month low of 50.8.
- Q1 2016 saw the UK manufacturing sector register one of its weakest performances during the past three years – giving a quarterly average of 51.6.
- March saw production rise at a pace unchanged from February’s seven-month low
- The domestic market was the prime source of new contract wins – with sales to the Middle East affected by the weak gas and oil market
- Manufacturing job losses recorded for third straight month
- The sharpest job cuts were initiated in the investment goods sector while consumer and intermediate goods producers both raised their staffing levels
