Taiwan: Manufacturing PMI falls in April
May 2, 2022
The S&P Global Manufacturing Purchasing Managers' Index (PMI) fell to 51.7 in April from 54.1 in March. April's result marked the worst performance since July 2020. As a result, the index remained above the 50.0 no-change mark, pointing to a moderating improvement in business conditions from the previous month.
The moderating value of the index stemmed from the first fall in output in five months, and a decline in employment. New orders broadly stagnated, while supply delays persisted due to lockdowns in mainland China and the Russia-Ukraine war. Both input and output prices rose at elevated rates, amid broad-based price pressures.
Annabel Fiddes, economics associate director at S&P Global, said:
“Overall, the data suggest that the sector may struggle to regain momentum unless we see marked improvements in supply chains and customer demand. As there is still a great deal of uncertainty over the outlook in terms of the pandemic, Russia-Ukraine war and intense cost pressures, risks remain tilted to the downside.”
Author: Oliver Reynolds, Economist