The ocean and the beach in the Philippines

Philippines PMI December 2021

Philippines: Manufacturing PMI hits highest reading since March in December

The IHS Markit Manufacturing Purchasing Managers’ Index (PMI) came in at 51.8 in December, up from November’s 51.7. December’s result marked the best reading since March. Consequently, the index moved further above the 50-threshold, signaling a faster improvement in business conditions compared to the previous month.

The stronger reading came amid an increase in new orders and output, with the latter increasing for the first time since March. Meanwhile, the decline in employment softened. Despite the improving demand landscape, firms continued to suffer from global supply chain bottlenecks and high energy prices, with stocks of purchases rising and input inflation remaining elevated. Moreover, the global spread of the Omicron variant hit new export orders, denting momentum somewhat. Meanwhile, business sentiment hit a 23-month high.

IHS Markit’s Shreeya Patel commented on the outlook:

“Looking ahead, the Omicron variant will almost certainly hit the Philippines manufacturing sector, and in more ways than one. Supply-side issues are likely to persist while case numbers and input price inflation could climb further as we head into the new year.”

Free sample report

Access essential information in the shortest time possible. FocusEconomics provide hundreds of consensus forecast reports from the most reputable economic research authorities in the world.
Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest