Philippines manufacturing PMI rose to 54.8 in November

  • Philippines manufacturing PMI rose to 54.8 in November

Philippines manufacturing PMI rose to 54.8 in November

China's official manufacturing purchasing managers index (PMI) came in at 51.8 in November, accelerating from 51.6 in the previous month, according to the National Bureau of Statistics (NBS), which released the data jointly with government-linked industry group the China Federation of Logistics and Purchasing.

Manufacturing production expanded at the fastest pace since September 2016 and to one of the greatest extents during the past four years. Forecasts of additional economic improvements, new client wins and product diversification stimulated sentiment towards the year-ahead outlook for production.

The expansion remained broad-based by subsector too.

New order growth was the strongest in almost seven years.

The latest reading was the highest so far this year. Meanwhile, output prices rose at the slowest rate on three months.

"A major driver of higher output has been solid domestic demand", said Bernard Aw, principal economist at IHS Markit, which compiles the survey. On its current course, manufacturing production is rising at a quarterly rate approaching 2%, providing a real boost to the pace of broader economic expansion. Within manufacturing, consumer goods was the best-performing category, although growth was also recorded in the intermediate and investment goods.

External demand bounced back, with the sub-index for new export orders edging up to 50.8 from 50.1 in October. This suggests that capital spending, especially in the domestic market, is showing signs of renewed vigour.

On the price front, input cost inflation quickened to the fastest since April, but firms were unable to fully pass on higher cost burdens to price-sensitive clients.