Engineering Sector Manufacturing Report
The Irish engineering sector is experiencing steady improvement in business sentiment, according to the Engineering Sector Manufacturing Report 2025 published by Engineering Industries Ireland (EII), the Ibec group representing the industrial engineering, manufacturing, and engineering services sectors. Overall optimism is on the rise, but the sector continues to grapple with challenges such as attracting skilled talent, managing labour costs, and navigating weaker global economic growth.
While confidence is improving, one-third of respondents still rate their organisation’s outlook as average or poor. Rising costs dominate concerns for the months ahead, with 79% of businesses anticipating wage growth as a key pressure point.
The report also outlines a set of priorities for inclusion in the upcoming Programme for Government, aimed at providing support for Ireland’s engineering sector
- Making competitiveness the top priority
- Transitioning to a more sustainable energy future
- Developing, attracting and retaining talent
- Expanding our product’s reach globally
- Enhancing ESG Governance practices
- Fostering diversity and inclusivity within our businesses
