January PMI rises to 65.1
Taiwan’s official Purchasing Managers' Index (PMI) rose 3.8 points to 65.1 in January, according to a report by the Chung-Hua Institution for Economic Research (CIER). It was the seventh consecutive month that the PMI had been in expansionary territory (above 50).
Of the five components of the PMI in January, new orders, production and manpower employment expansion, and supplier delivery time increased, while inventory also expanded. Broken down by industry sector, six major industry sectors have maintained an expansion rate of more than 60 for two consecutive months. The sub-index for transportation instruments was 70.5 in January, for electricity/electric equipment 67.4, for basic material 66.3, electronics/optoelectronics 65.3, chemical/biotech 63, and food/textiles 61.3, according to the data.
Meanwhile, the non-manufacturing index (NMI) for the service sector remained at 55.0 in January, marking the eighth consecutive month of expansion.
The report also noted that the lack of containers in global shipping has led to longer delivery times and a rise in freight prices. The supplier delivery time index has been above 60 for three consecutive months. In addition, the raw material price index has been above 80 for two consecutive months, with the latest reading at 85.8.