Earthquakes in Turkey slowed growth of industrial activity
2023.03.01 04:28
Earthquakes in Turkey slowed growth of industrial activity
By Tiffany Smith
Budrigannews.com – According to a business survey released on Wednesday, activity in Turkish factories slowed in February due to massive earthquakes, which caused some companies to suspend production, slowing output and orders.
According to the Istanbul Chamber of Industry and S&P Global (NYSE:), Turkey’s Purchasing Managers’ Index (PMI) for manufacturing remained above the 50-point line that separates expansion from contraction in February, unchanged from January. said.
The panel stated that the earthquake caused difficulties in the sourcing and delivery of components, which resulted in supplier lead times exceeding 10 months.
According to the panel, output and new orders decreased as a result of the earthquake, which killed 44,000 people in the country. Additionally, manufacturers decreased their purchasing activity as a result of difficulties sourcing goods and suspended production lines.
According to the survey, wage and raw material costs rose along with currency weakness, driving up input prices. This in turn drove up output prices.
According to Andrew Harker, economics director at S&P Global Market Intelligence, “the terrible earthquake in February impacted the Turkish manufacturing sector during the month, with supply chains and production lines affected in particular.”
“We are hopeful that in the coming months, we will observe signs of recovery in the affected areas and throughout the sector as a whole.”
