Business confidence in the Dutch manufacturing sector deteriorated to -2.0 in May 2026 from -0.7 in April, marking the weakest reading since last August. Expected activity dropped sharply to 4.6 from 8.4, signalling a notable weakening in the near-term production outlook, while inventory judgments worsened to -5.2 from -3.3, indicating a higher perceived stock overhang. By contrast, order position assessments improved slightly to -5.6 from -7.1, suggesting some easing in demand conditions. By sector, sentiment weakened broadly. The food and beverage industry declined (-3.0 vs -1.9), wood and building materials edged lower (-3.5 vs -3.3), while refineries and chemicals weakened further (-3.7 vs -1.6), alongside base metals and metal products (-4.1 vs -0.8). Assessments were less negative for paper and graphic products (-4.0 vs -4.9), and textile, clothing, and leather (-2.9 vs -7.9).