SINGAPORE, Jan. 3 (Xinhua) -- The Singapore purchasing managers' index (PMI), an early indicator of manufacturing activity, decreased 0.1 points from the previous month to post a fourth month of continuous contraction at 49.7 in December 2022.
A PMI reading above 50 indicates expansion, while a reading below 50 indicates contraction.
The latest PMI reading was attributed to a faster contraction in the key indexes of new orders, new exports, factory output and inventory, Singapore Institute of Purchasing and Materials Management (SIPMM), which publishes the Singapore Purchasing Managers' Index on a monthly basis, said on Tuesday night.
The employment index recorded a marginally slower rate of expansion and had expanded for 22 continuous months, SIPMM added.
In December 2022, Singapore's electronics sector PMI recorded a decrease of 0.3 points from the previous month to post a faster contraction at 48.9. The latest sector reading was attributed to a faster contraction in the key indexes of new orders, new exports, factory output, inventory, and employment.
Sophia Poh, vice president of industry engagement and development at SIPMM, said that the latest PMI readings did not bode well for the manufacturing sector.
"A slowing electronics demand and an escalating cost pressure are weighing down on the overall manufacturing sector," she said. "Global uncertainties from geopolitical developments as well as the macroeconomic risks of high inflation and volatile energy prices continue unabated into the new year."
