India’s manufacturing activity contracted sharply in May after a historic decline in April amid the ongoing coronavirus lockdown, which has forced enterprises to slash headcount at the quickest pace in over 15 years.
The manufacturing Purchasing Manager’s Index (PMI) released by IHS Markit stood at 30.8 in May, slightly better than 27.4 recorded in April but still well below the 50 mark that divides contraction from expansion. “In a sign of further demand weakness, new orders placed with goods producers continued to fall after April’s record contraction.
The rate of decline decelerated but was still the second-fastest since the series’ inception in March 2005," said IHS Markit, which tracks new orders, output, jobs, suppliers’ delivery