Philippine manufacturing just hit its weakest stretch in more than four years โ but industry watchers say this round isnโt the end of the fight.
Latest data from S&P Globalโs Purchasing Managersโ Index (PMI) shows factory activity sliding to 47.4 in November, dropping below the key 50-point expansion threshold and marking the sharpest decline since August 2021.
The slump was driven by cooling demand, with manufacturers reporting steep falls in output, new orders, and export sales. Several firms also pointed to typhoon-related disruptions, which slowed production lines and added pressure to already fragile supply chains.
For the first time since May, companies trimmed staff as workloads continued to thin.
But despite the contraction, analysts are urging caution โ not panic.
S&Pโs Economics Director Trevor Balchin noted that many manufacturers still expect conditions to improve in the coming months, signaling that the downturn may be short-lived as the broader economy adjusts.
For now, the sector is weathering a rough round โ but itโs still staying in the ring, watching for recovery signals.
Image from Veejay Villafranca / Bloomberg
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