Philippines manufacturing PMI holds at 51.2 in August

Philippines’ manufacturing sector maintained stability in August, with the latest S&P Global Philippines Manufacturing PMI data holding steady at 51.2.

Despite a slowdown in new export orders, domestic demand played a crucial role in driving overall growth. Filipino goods producers recorded the strongest uptick in new orders in three months, supporting a faster increase in output compared to July.

Overall, growth in new orders boosted output in August. The growth rate accelerated from July’s low point and was in line with historical averages.

Increased business demand led to higher purchasing by firms in August, although the rate of increase was modest and reached a five-month low.

However, the build-up of pre-production inventories softened, reflecting a weaker buying activity. Post-production inventories were also depleted in August, marking a reversal from the previous five months of stock building.

Attribution: S&P Global Philippines Manufacturing PMI report

Subediting: M. S. Salama