SINGAPORE: Singapore’s manufacturing sector in December fell to its lowest level in nearly two years due to a first time contraction in new orders and slower growth in new export orders.
The Singapore Institute of Purchasing & Materials Management’s Purchasing Managers’ index (PMI) tumbled to 49.6 points in December, the lowest level since February 2013 and the first contraction since August 2014.
Further Singapore said last week its economic growth slowed more than expected in the fourth quarter as manufacturing contracted in the face of erratic global demand, raising concerns about the outlook for 2015.
The PMI for the electronics sector, which has struggled against regional peers such as South Korea and Taiwan, expanded by 50.5 points in December a marginal dip of 0.1 point from November.
The institute’s PMI reading was 51.8 points in November. A reading above 50 indicates that activity is expanding, while one below that points to a contraction.
