In November 2019, economic conditions in the Turkish industry did continue to degrade,
although at a smoother rhythm than the previous month: from 49.0 in October, the Istanbul Chamber of Industry Purchasing Managers ' Index (PMI) increased to 49.5. Thus, the index produced by IHS Markit persisted south of the neutral 50.
For the very first time in more than a year and a half, the upsurge in the net figure reflected an uptick in output, while new listings moderated at a smaller tempo. Nevertheless, the smoother decrease in new orders concealed still-fragile demand dynamics.
Both domestic and international demand stayed weak in the month. In addition, this has resulted in a further decrease in work backlogs as well as shrinking levels of staff. More favorably, after dropping for more than a year and a half, purchasing activity recovered.
Checking prices, lower raw material costs lowered tension on input prices; nevertheless, some upward tension persisted to be exerted by a feeble lira.
In part, the moderation in input cost inflation led to a moderation in inflation of output prices.
While only fractional, the rise shows enhanced faith among businesses that there is an upward path in market situation. Meanwhile, the industry's capacity utilization rate rose from 76.4% in October to 77.2% in November 2019.