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Taiwan PMI November 2019

Taiwan: Manufacturing PMI remains depressed in November

The manufacturing Purchasing Managers’ Index (PMI), reported by IHS Markit, remained unchanged at 49.8 in November, once again coming in below the 50-threshold that signals deteriorating operating conditions in the manufacturing sector.

The amount of new work received by manufacturers decreased in November for the 15th consecutive month. This came against the backdrop of weak customer demand weighing on both domestic and external sales, with production falling as a result. Furthermore, purchasing activity and backlogs declined, while employment figures were unchanged, putting an end to a four-month-long period of expansion. Regarding prices, output prices fell again in November, despite an increase in input costs.

Annabel Fiddes, principal economist at IHS Markit, commented:

“Businesses remain particularly vulnerable to a slowdown across the global economy. Data highlighted a solid decline in export sales amid reports of weaker demand across key markets like China, Japan, Europe and the US. The latest survey also suggests that this soft patch may extend into 2020 unless there is a meaningful pick-up in client demand.”

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