Singapore industrial production jumps 8.7% on aerospace surge

Chips and ships drive Singapore's economy as general manufacturing hits a wall.

Singapore’s industrial production in 2025 was driven mainly by electronics and transport engineering, whilst general manufacturing remained weak, according to RHB Economics data tracking year-on-year output trends from 2022 to 2025.

The electronics cluster was the most volatile segment over the period, with sharp swings in 2023 followed by a rebound in 2024 and steadier growth in 2025. Full-year electronics output rose 12.7%.

The transport engineering cluster recorded the most consistent expansion, staying largely in positive territory from 2022 to 2025 and ending 2025 with 18.7% growth, the strongest among major clusters.

In contrast, general manufacturing remained subdued, posting negative growth through much of 2023 and 2024 and hovering around zero by late 2025. Output for the cluster fell 7.8% for the year.

Precision engineering tracked close to flat throughout most of the period and grew 3.6% in 2025.

Overall industrial production expanded 8.7% in 2025, above forecasts, with growth easing from the sharp swings seen in 2023. Excluding biomedical manufacturing, output rose 7.4%. Biomedical output increased 16.3%, whilst chemicals grew 0.2%.

The data points to Singapore’s factory sector becoming increasingly reliant on electronics and transport-related industries to offset weaker performance in broad-based manufacturing.