Philippines Factory Activity Contracts for 2nd Month

2026-11-03 00:42 By Judith Sib-at 1 min. read

The S&P Global Philippines Manufacturing PMI edged down to 49.1 in October 2026 from 49.6 in September.

This marked a second consecutive month of contraction amid continued reduction in both output and new orders.

While output fell at a slower pace, the decline in new orders deepened, with some firms citing weak demand and hot weather, which some panelists linked to El Niño.

New export orders also remained in contraction.

Manufacturers further scaled back purchasing activity, with the latest reduction being the sharpest in 11 months.

Employment also decreased for a second month, though firms kept on top of workloads, with backlogs falling.

Vendor performance deteriorated for an 11th time in as many months.

Pre-production inventories were steady after September's decline, while stocks of finished goods rose marginally for the first time in 4 months.

Nonetheless, confidence rebounded to a near two-year high.

Price pressures eased, with input costs rising at the slowest pace in 8 months.



News Stream
Philippines Factory Activity Contracts for 2nd Month
The S&P Global Philippines Manufacturing PMI edged down to 49.1 in October 2026 from 49.6 in September. This marked a second consecutive month of contraction amid continued reduction in both output and new orders. While output fell at a slower pace, the decline in new orders deepened, with some firms citing weak demand and hot weather, which some panelists linked to El Niño. New export orders also remained in contraction. Manufacturers further scaled back purchasing activity, with the latest reduction being the sharpest in 11 months. Employment also decreased for a second month, though firms kept on top of workloads, with backlogs falling. Vendor performance deteriorated for an 11th time in as many months. Pre-production inventories were steady after September's decline, while stocks of finished goods rose marginally for the first time in 4 months. Nonetheless, confidence rebounded to a near two-year high. Price pressures eased, with input costs rising at the slowest pace in 8 months.
2026-11-03
Philippines Factory Activity Falls for First Time in 5 Months
The S&P Global Philippines Manufacturing PMI fell to 49.6 in September 2026 from August’s over nine-year high of 54.9, signaling the first deterioration in manufacturing conditions since April. Output declined for the first time in nine months and at the sharpest pace since November 2025, amid weaker new order inflows and increased international competition, with new export orders also falling. Manufacturers subsequently cut jobs again, albeit only slightly, while work backlogs dropped at the fastest pace since April. Firms also reduced input buying for the first time since May and cut both pre- and post-production inventories, with the latter falling at the quickest pace in five months. Supplier delivery times lengthened sharply and to one of the greatest degrees in almost two years. On prices, output charge inflation accelerated despite input cost inflation easing to a three-month low. Business confidence fell notably from August’s 21-month high, falling to its lowest since January.
2026-10-01
Philippines Factory Growth Strongest Since 2016
The S&P Global Philippines Manufacturing PMI rose to 54.9 in August 2026 from 51.8 in July, marking the fourth consecutive month of growth and the strongest improvement in factory conditions since December 2016. New orders increased at the fastest pace in six months, while new export orders returned to growth for the first time in six months. Manufacturing output also expanded at its fastest rate since December 2016, and firms increased purchasing activity at the fastest pace in six months, while inventories of purchases rose for the first time since February despite supplier delays. Employment increased for the first time in five months, with job creation reaching its strongest pace in 21 months. Meanwhile, input cost pressures eased notably from July, while output inflation slowed to its weakest in six months. Business confidence surged to its highest level since November 2024, supported by expansion plans, new product launches and expectations of stronger orders and customer wins.
2026-09-01