A reading above 50 indicates expansion, while a reading below that signals contraction.
While there is some variation in the forecast, analysts said the country's GDP growth may register up to 6.9 percent for 2017.
Ireland's economy is nearly certain to have been the strongest performer in Europe for the fourth straight year, while unemployment has been on a steady downtrend since 2011. The increase was driven by stronger new order growth and the fastest rise in employment in the sector since the survey began in 1998.
"That said, the level of business sentiment eased from November's 47-month high and remained weaker than the series average", the report noted.
"Given the strong conditions evident in the manufacturing sector, it is no surprise to see that firms are upbeat about the outlook, with more than six times as many companies expecting to see growth in 2018 as opposed to those who anticipate a decline", said Investec Ireland chief economist Philip O'Sullivan. Furthermore, the rate of expansion quickened to the strongest since December 2012. It was the first slowdown in growth since early 2016.
"The goods-producing economy carries strong momentum into 2018, with new order growth at its highest for nearly eight years and rising backlogs of work pointing to the need for further expansion in capacity", Smith added.
Singapore on Tuesday posted slower economic growth in the fourth quarter than the third as manufacturing shrank 11.5 percent following an eye-popping 38 percent jump in the previous three months.
"Industry in Việt Nam therefore looks to be in good shape heading into 2018", Andrew added. It also vowed to keep a tighter grip on the money supply in a much more hawkish message than it had at the previous year's meeting.
"The PMI has remained above 51 and even exceeded 52 in September".
The Caixin manufacturing PMI for December compares with a decrease in the official PMI released by the National Bureau of Statistics (NBS) on Sunday.
New orders placed at Indian manufacturers rose for the second month in succession during December. The Caixin China General Services Business Activity Index will be published on Thursday.