October PMI rises to 59.3
By ECCT staff writers
Taiwan’s official Purchasing Managers' Index (PMI) for October rose 1.6 from a month earlier to 59.3. According to a report by the Chung-Hua Institution for Economic Research (CIER), this was the highest level reached since January 2018, when it stood at 59.7.
The reading marked the fourth consecutive month of PMI expansion (above 50), which CIER attributed to an increase in orders for electricity/electric equipment and basic material industries, which had been hit hard by the Covid-19 pandemic. In addition, four other major industries (chemical/biotech, food/textiles, transportation instruments, and electronics/optoelectronics industries) were also in expansionary mode in October, according to CIER. CIER’s sub-index on new business orders rose from 61.3 to 65.9, while that on industrial output climbed from 61.3 to 63.7.
In the service sector, however, the non-manufacturing index (NMI) fell by 2.2 from a month earlier to 53.4 in October, although it remained in expansionary mode for the fifth straight month.