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September and Q3 2022 Global Manufacturing Indices Enter Contraction Trending

Supply Chain Matters

In both our summary and perspectives focused on August and July global PMI reporting , we echoed an increased trending toward declining global supply chain production momentum. Ireland stood out as the only EU nation to record an expansionary PMI with a value of 51.5. up from a 47.3 reported for August. up from a value of 53.7

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The Global Trade Compliance Market is Crazy!

Logistics Viewpoints

Many multinationals have engineered their global supply chains to minimize taxation by creating subsidiaries in low taxation nations like Switzerland, Ireland, and Singapore. Finally, in making sourcing decisions, global trade compliance needs to be part of companies strategic sourcing programs.

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Forced Labour and Exploitation in Supply Chains

Savant Events

Countries that have passed relevant legislation include England and Wales via the Modern Slavery Act 2015, which has ‘transparency in supply chains’ that also extend to Northern Ireland and Scotland; and the Health and Care Act 2022 section 81.

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Global PMI Levels in August Remain Sluggish

Supply Chain Matters

From our lens, the August data further reflects ongoing shifts in production sourcing within specific industry sectors. The August data indicated that Greece and Ireland were the only two countries to record production improvements during August. The three specific regions of concern are the Eurozone, United Kingdom along with Taiwan.

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November Global PMI Reporting Reflects Some Stabilization

Supply Chain Matters

From our lens, this trend is mainly an indicator of seasonal holiday related demand and spending for the traditional holiday quarter. Italy’s manufacturing sector reportedly intensified while Greece and Ireland logged manufacturing growth in November. Similar to October, November’s reporting clearly reinforces this ongoing trend.

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Global Manufacturing Activity Levels Stabilize in February

Supply Chain Matters

Counties reaching new highs were noted as Italy, noted as reaching a ten month high, Greece, Ireland and Spain. Report authors however, qualified that the domestic market demand was the prime source of activity growth. Manufacturing output volumes reportedly stabilized, after an eight month run of contraction.

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October Global PMI Reporting-Continued Production Contraction

Supply Chain Matters

From our lens, this trend may be an indicator of seasonal demand in that the final quarter is usually holiday related demand and spending. Germany reportedly remained the worst performer while faster declines were reported for Italy , Spain and Ireland. October’s reporting clearly reinforces this ongoing trend.