The ASEAN manufacturing sector continued to build on its recent improvement, with the region’s PMI rising to 51.
5 in February 2025, up from 50.
4 in January. This marks a seven-month high, indicating a sustained and steady recovery in industrial conditions.
Manufacturing output and new orders grew at accelerated rates, and employment expanded as firms ramped up operations. Business confidence climbed to its highest level in 22 months, prompting companies to boost purchasing activity and ramp up production capacity. Despite this flurry of activity, input cost pressures remained stable, with inflationary pressures contained and output charge increases modest.
Indonesia led the upswing, with its manufacturing PMI reaching 53.6, the strongest among ASEAN members, buoyed by robust domestic demand. Thailand also returned to expansion, edging past the neutral threshold, with production and employment stabilising and cost pressures easing. Although the Philippines and other economies trailed behind in performance, they contributed to the overall upward trend. The collective indicators point to an optimistic outlook and ongoing recovery for the ASEAN manufacturing landscape.
