Overview
- Confindustria’s latest snapshot describes a narrow recovery, with output down in December and only a marginal January improvement after a modestly positive fourth quarter supported by PNRR investment.
- Quarterly export demand ended lower despite a December uptick, with strength concentrated in pharmaceuticals and some metals while many traditional manufacturing segments weakened.
- Pharmaceuticals led 2025 performance with production up 3.8% and exports up 28.5%, including a 54% surge to the United States, as metals also gained on sales to Switzerland.
- Sectoral breadth remains thin: only 3 of 22 sectors grew in both 2024 and 2025, while automotive fell 10.3% and chemicals 2.6% as fashion struggled and food proved resilient.
- Financing costs for firms have reversed their decline, risking a slowdown in machinery and plant investment, while a proposed ‘decreto bollette’ could cut energy bills if cleared by the European Commission.