Manufacturing index posts 25-month high

The Philippine Manufacturing Purchasing Managers’ Index increased from 49.2 in December to 52.5 in January, posting above the 50 neutral mark separating expansion from contraction, the Trade Department said Monday. 

It said the January PMI data was the highest in 25 months, even prior to the pandemic, signaling improving manufacturing conditions and indicating the start of recovery of the sector.  

Manufacturing output increased despite a slight contraction in new export orders. The expansion in manufacturing operations was largely driven by increased orders from existing and new clients, particularly from the domestic market.  

“The latest manufacturing PMI reinforces the importance of our ‘REBUILD’ economic recovery strategy, which stands for ‘Revitalizing Businesses, Investments, Livelihoods and Domestic Demand.’ We must continue to build consumer confidence, revitalize domestic demand, and empower manufacturing firms in the country to seize that demand,” said Trade Secretary Ramon Lopez.