The UniCredit Bank Austria Manufacturing PMI slipped to 49.3 in December 2025 from 50.4 in November, falling back below the neutral threshold after briefly expanding for the first time in over three years.
New orders fell at the fastest pace in three months, slowing output growth to a marginal rate, while weaker export demand weighed on overall year-end activity.
In addition, employment fell for the 32nd month, though job losses slowed to their weakest since mid-2023, aided by the first modest rise in backlogs since May 2022.
On the pricing front, input cost inflation remained low despite supplier delays reaching a three-year high, while manufacturers cut output prices for the eighth consecutive month amid strong competition.
Looking ahead, Austrian manufacturers remained optimistic about production prospects in 2026, with expectations reaching their highest level since early 2022.