The ocean and the beach in the Philippines

Philippines PMI December 2020

Philippines: Manufacturing PMI declines in December

The manufacturing Purchasing Managers’ Index (PMI), produced by IHS Markit, edged down to 49.2 in December from 49.9 in November. The PMI thus moved further away from the crucial 50-threshold, and signaled deteriorating conditions in the manufacturing sector.

December’s decline was largely attributed to a decline in output—the sharpest drop in series’ history—, amid lingering Covid-19 restrictions and unfavorable weather conditions. Moreover, employment continued to fall markedly in December, amid still-muted demand conditions and declining levels of outstanding business. Meanwhile, input price costs rose for the eighth month running, prompting manufacturers to increase their selling prices. Lastly, firms’ confidence jumped to a ten-month high, on expectations of firming demand.

Shreeya Patel, economist at IHS Markit, stressed:

“Although the latest overall sector contraction was only marginal, domestic demand remains challenging which may stymie progress on the lengthy road to recovery.”

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 X Download Fullscreen