1-12-2023 (SINGAPORE) The manufacturing sector in the ASEAN region experienced growth in November, propelled by increased new business volume and the clearing of backlog work during the initial months of the year. The ASEAN Manufacturing Purchasing Managers Index (PMI) reached 50 in November, up from 49.6 in October, marking a three-month high, according to the latest survey by S&P Global released on December 1.
A PMI above 50 indicates expansion in the manufacturing industry, while a PMI below 50 signifies contraction. Despite the stabilization of manufacturing conditions and employment after two consecutive months of decline, the survey highlighted a third consecutive monthly fall in new orders, indicating a current trend of weak demand.
In November, supplier delivery times worsened for the first time in 10 months. However, the increase in average delivery times remained relatively modest compared to historical data. While business confidence has improved, companies express optimism about increased output over the next 12 months. Nevertheless, subdued demand conditions continue to keep market sentiment below the series average.
