Vietnam: Manufacturing PMI dips in December but stays in expansionary territory
January 2, 2020
According to data released by IHS Markit, the manufacturing Purchasing Managers’ Index (PMI) registered 50.8 in December, marginally below November’s 51.0 reading. Thus, the index remained above the 50-threshold that signifies improving operating conditions in the manufacturing sector.
December’s reading came amid higher new orders and slight rises in employment and purchasing activity. However, output declined, while export orders fell for the first time in over four years. On the price front, input cost inflation rose, feeding through to higher output prices.
Commenting on December’s reading was Andrew Harker, associate director at IHS Markit:
"While output ticked down, comments from survey respondents suggested that this was at least in part due to issues with production processes and so should hopefully prove temporary, especially if new business continues to rise solidly”.
Author: Oliver Reynolds, Economist