ASEAN Manufacturing PMI hits record 53.8 in February on new orders

The region's February PMI is its highest level since July 2012.

The S&P Global ASEAN Manufacturing Purchasing Managers’ Index rose to 53.8 in February from 52.8 in January, marking the highest reading since the series began in July 2012.

The index has remained in expansion territory for eight consecutive months, according to S&P Global, driven by record growth in new orders and a near-record rise in output as factory orders expanded for the seventh month. 

New export orders also grew for the first time in four months.

Manufacturers increased staffing levels for the sixth month and raised purchasing activity for the seventh month, with expansion rates amongst the strongest in the survey’s history.

Operating conditions showed a further rise in backlogs of work for the sixth consecutive month. Input costs and output charges both increased in February, whilst suppliers’ delivery times shortened.

Manufacturers expect output to grow over the next year, although business confidence eased to a three-month low in February, S&P Global noted.

The survey covers around 2,100 manufacturers across Indonesia, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam, representing 98% of manufacturing value added in the region.