S’pore manufacturing growth slows in April; uptick in electronics

A weaker global economy constrained local manufacturers a little in April but the sector still racked up its eighth consecutive month of expansion.

- Timothy Goh

The purchasing managers' index (PMI), a barometer of the manufacturing industry, dipped from 50.7 points in March to 50.5 points in April. A reading below 50 indicates contraction and one above denotes growth.

April's slower rate of expansion was due to subdued growth in key areas such as new orders, new exports, factory output and input purchases, the Singapore Institute of Purchasing and Materials Management (SIPMM), which compiles the data, noted on May 2.

Meanwhile, the employment index recorded a slightly faster rate of expansion, and the supplier deliveries index returned to expansion after 10 consecutive months in contraction territory.

The PMI for electronics, a key manufacturing segment, crept up 0.1 point to 50.9 in April, from 50.8 in March.

SIPMM executive director Stephen Poh noted that the manufacturing sector continued its expansion on the back of higher demand for consumer electronics and products in the booming field of artificial intelligence (AI).

"However, global uncertainties dampened growth, arising from the ongoing geopolitical conflicts and the effects of inflationary pressures," he added.