The S&P Global Italy Construction PMI fell to 45.4 in June 2026 from 49.4 in May, signaling a sharper contraction in construction activity after conditions had shown signs of stabilizing in the previous month.
Output and new orders both declined at faster rates, reflecting weaker demand, delivery delays, and fewer working hours due to extreme heat.
Activity fell across all sectors, with civil engineering posting the steepest decline in 16 months, while commercial construction recorded the mildest contraction.
Employment also decreased for the first time in 22 months and at the fastest pace in over six years as firms reduced headcount following project completions and weaker workloads.
On the price front, input cost inflation eased to a four-month low but remained elevated due to higher raw material and oil prices linked to the Middle East conflict.
Lastly, business confidence weakened amid uncertainty surrounding the National Recovery and Resilience Plan (PNRR) deadline.