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Taiwan manufacturing activity contracts again in November

Taiwan manufacturing activity contracts again in November

Taiwan's purchasing managers index (PMI) for the manufacturing sector fell for the fifth consecutive month in November, with all of the main factors in the index reflecting continued economic sluggishness.

The index fell to 45.1 during the month, just 0.1 higher than its low point (in August 2015) since it was first officially recorded in Taiwan in July 2012. A PMI reading of above 50 indicates an expansion in manufacturing activity, while a figure below 50 signals contraction.

All five constituents of the local PMI -- new orders, production, inventories, employment and supplier deliveries -- remained below 50 in November, according to the Chung-Hua Institution for Economic Research (CIER), which compiles the PMI in Taiwan.

Among the six industrial sector groupings in the PMI, only the food and textile sector showed continued expansion with a score of 52.8.

The other five groupings -- the transportation equipment sector (37.5), the electrical and machinery sector (41.0), the basic materials sector (43.3), the chemical, biological and medical sector (45.5) and the ele

ctronics and optoelectronics sector (45.9) -- were all below 50.

The non-manufacturing index (NMI) compiled by the CIER fell to 48.7 in November from 50.8 the previous month but remained above the year-low of 45.3 posted in September.

Of the four constituents of the local NMI, the indexes for business activity and new orders continued to show contraction while those for employment and supplier deliveries showed expansion.

Updated : 2021-09-22 11:38 GMT+08:00