Singapore’s manufacturing outlook may continue gloomy in the first quarter of 2023, after its manufacturing output shrank for a third consecutive month in December last year, said economists.
According to data released by the Economic Development Board (EDB) of Singapore, the industrial production in last December fell 3.1% compared to the same period of the previous year, making this the third consecutive month of decline.
Excluding biomedical manufacturing, Singapore’s output increased by 0.3% year-on-year.
Output for the chemicals, precision engineering and general manufacturing clusters also declined on a year-on-year basis at 9.5%, 4.1% and 2.8% respectively.
The electronics sector was one of two clusters that saw output growth in December, after five consecutive months of decline. However, most economists believe that the electronics industry’s recovery may be temporary.
Selena Ling, OCBC Bank’s chief economist & head of treasury research & strategy, warned that Singapore’s industrial production may “stay in the doldrums” in the first quarter of 2023.
However, the Southeast Asian nation’s manufacturing activity will gradually stabilise in subsequent quarters to bring full-year 2023 growth to 1.6% year-on-year, she said./.
Source: Vietnam News Agency