Philippine manufacturing contracts in September for first time in 6 months

Philippine manufacturing activity contracted in September for the first time in six months, with the Purchasing Managers' Index (PMI) falling to 49.9 from 50.8 in August.

This marks the second contraction of the year for the sector, with previous downturns observed in March.

Manufacturers reported a decrease in output and new orders, citing a decline in client numbers and a modest drop in production due to the suspension of rice imports.

The PMI's dip below 50 indicates a deterioration in operating conditions, a rare occurrence for the Philippines' manufacturing sector in its post-pandemic history, happening only three times in over four years.