Data released for August 2025 shows that eurozone industry has entered a growth path. The PMI rose from 48.9 in July to 50.7 , signaling the first month of expansion since mid-2022. The improvement is primarily driven by domestic orders rather than exports, which is crucial for road transport operators in Europe. However, divergences between countries and persistent export weakness paint a picture of a fragmented and shock-prone recovery.
Production growth in the eurozone
The PMI's rise to 50.7 points undoubtedly signals improvement, driven by an increase in domestic orders for the first time since March 2022. Production volumes also rose, and manufacturer sentiment reached a 28-month high. Unfortunately, behind the positive headlines lie serious challenges. Export demand has been shrinking steadily for 18 months, employment continues to decline, and companies are primarily fulfilling backlogs rather than building inventories.
For logistics operators, this means a potential increase in short-term volumes in domestic supply chains. However, persistent volatility, limited inventory investment, and a cautious approach to hiring may continue to dampen the growth of international transportation and warehousing activities.
Stabilization in Germany, but without enthusiasm
The German manufacturing PMI rose from 48.5 points in July to 49.8 points in August. This is the highest level in 20 months and the sixth consecutive improvement . Although the figure is still below the 50-point mark, it suggests a significant halt in the decline in Europe's largest industrial economy.
From a logistical perspective, the most important thing is that production grew for the second month in a row, and new orders increased for the first time since May 2022. Purchasing activity by companies also increased, and delivery times lengthened – which usually indicates growing demand.
Unfortunately, exports remain weak, and employment has fallen for the fifth consecutive month. Most companies are focusing on reducing inventories and addressing backlogs. Input costs have risen, primarily due to rising fuel, energy, and metal prices.
For the TSL sector, this means growing domestic traffic, but still limited international transport dynamics. Declining inventories may reduce warehousing demand in the short term.
France – Return to Growth After 31 Months
French industry saw long-awaited growth, with the PMI rising from 49.4 in July to 50.4 in August. Production and new orders rose slightly, companies resumed purchasing and showed greater optimism.
Despite this, employment continues to decline , and export demand remains weak. Finished goods inventories are also falling, suggesting that backlog orders are being fulfilled without being replenished.
Domestic road transport may benefit , but limited inventory turnover and weak exports mean continued low activity in the logistics sector.
Fragile growth driven by domestic demand in Italy
The Italian PMI rose from 48.7 points to 50.4 points, marking the first increase in 17 months. Domestic orders are largely responsible for the recovery, as exports continue to decline.
Companies increased production and purchasing, but also reduced inventories and staffing for the seventh consecutive month. Input costs rose slightly after a year of declines.
While domestic transport demand is likely to increase, cross-border transport remains in decline. The continuing trend of destocking may also limit demand for warehousing services.
Spain – the growth leader in Europe
With a score of 54.3 points in August (up from 51.6), Spain recorded the strongest production growth in Europe . Production, orders, and employment all increased, and business sentiment also improved.
Input costs rose, mainly due to fuel and raw material prices, but companies managed to pass them on to customers through higher selling prices.
The logistics sector will see positive effects in the form of increased demand for transport and warehousing , although cost pressures may impact operators' profitability.
Deepening decline in Poland
The Polish PMI fell from 48.7 points to 48.5 points, marking the second consecutive month of deepening recession. Production, orders, and employment all fell, and companies are pointing to very weak export demand.
Stocks of raw materials and finished goods were reduced, and input costs rose slightly after earlier declines.
Domestic and international transport remain under pressure, and warehousing activity may decline. This is a challenging time for TSL operators, requiring cost optimization and operational flexibility.
Pressure on carriers is growing in the UK
British manufacturing is in a deepening slump, with the August PMI falling from 45.3 to 43, the lowest since May 2020. Production is falling at a rapid pace, driven by both weak domestic and foreign demand. New orders are falling for the sixth consecutive month.
Employment is falling rapidly, backlogs are being processed rapidly, and companies are reducing purchases and inventories. Delivery times are shortening, but this is due to reduced workloads, not improved efficiency.
For logistics operators, this means declining freight volumes and low inventory turnover. Improving on-time delivery can reduce costs, but it also indicates unused capacity in supply chains.
PMI data for August 2025 indicate the first increase in production in the eurozone in two years. This is a positive sign for road transport and logistics, especially domestic transport. However, the uneven recovery across countries, weak exports, and reluctance to rebuild inventories are creating a climate of caution and uncertainty for logistics operators . In the coming months, companies' ability to flexibly respond to fluctuating volumes and new demand directions will be crucial.
.jpg)
