Spain's manufacturing sector sees growth recovery in May

In May, Spain's manufacturing sector showed signs of revitalization, marking the first period of growth since the beginning of 2025. According to experts surveyed by Reuters on Monday, the partial removal of tariffs by the United States boosted business sentiment in the European nation.

Last month, Spain's S&P Global Purchasing Managers’ Index rose from 48.1 to 50.5, surpassing the important 50-point threshold that indicates a shift from contraction to expansion in the sector. This is the highest level recorded since January, when the index hit 50.9 points, as noted by the news agency.

The Reuters poll revealed that the sector's improvement was fueled by a modest increase in production, a resurgence in sales, and diminished uncertainty regarding Donald Trump's tariffs.

Hamburg Commercial Bank economist Jonas Feldhusen said Spain relies less on the US market than countries like Germany or Italy. Nevertheless, an enhanced outlook for global trade could positively impact the nation's production capabilities.