The Singapore Manufacturing PMI decreased further to 51.9 in October 2018 from 52.4 in the previous month, signaling that US-China trade tensions began to affect factories across Asia. The reading pointed to the 26th consecutive growth in manufacturing activity but at the weakest pace since August 2017. New orders, new exports, output, inventory and unemployment levels rose at a slower pace. In particular, the factory output index of 52.6 was the lowest since July 2017, while the imports index of 51.1 was the lowest since February 2017. Also, the PMI for the electronics sector declined to 50.5 in October from 51.4 in September, marking the lowest reading since November 2016. Manufacturing PMI in Singapore averaged 50.59 from 2012 until 2018, reaching an all time high of 53.10 in January of 2018 and a record low of 48.30 in October of 2012.
Manufacturing PMI in Singapore is expected to be 52.20 by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Manufacturing PMI in Singapore to stand at 52.60 in 12 months time. In the long-term, the Singapore Manufacturing PMI is projected to trend around 50.20 in 2020, according to our econometric models.