Philippine manufacturing activity expands for the first time in seven months

Philippine manufacturing activity recorded its strongest expansion in seven months in October, with the Purchasing Managers' Index (PMI) rising to 51.0 from 50.9 in September.

This uptick signifies a marginal but notable improvement, surpassing the 50.0 threshold that indicates growth.

However, the sector faced significant production delays attributed to raw material shortages, poor transportation conditions, and rising costs.

These issues led to a seventh successive monthly fall in output, with the rate of decline quickening from September.

Despite challenges, manufacturers increased their input buying to secure necessary raw materials and expressed optimism for improved demand in the coming year.

Economist Shreeya Patel noted that businesses are only partly able to pass on higher costs given the relatively weak demand environment.