Manufacturing index improves in November

Manufacturing index improves in November
  • By Crystal Hsu / Staff reporter

Taiwan’s manufacturing industry’s business climate monitor improved in November, the Taiwan Institute of Economic Research (TIER, 台灣經濟研究院) said on Tuesday.

The composite index assessing the manufacturing sector’s fundamentals rose 0.91 points from a month earlier to 12.29, the Taipei-based institute said.

While the readings on the operating environment, selling prices and raw material inputs posted progress compared with a month earlier, the measures on demand and cost pressures turned unfavorable, it said.

Manufacturing index improves in November

Photo: CNA

The institute found that providers of electronic components —noticeably 12-inch wafers and printed circuit boards — reported stable growth amid strong demand for artificial intelligence and high-performance computing.

Machinery equipment providers also reported steady business, thanks to demand from local semiconductor firms to upgrade technology processes and expand capacity, it said.

Makers of non-tech products showed mixed business performance, with the smooth construction of public works boosting demand for plywood, manufactured boards and bamboo products, while deliveries of new homes lent support to furniture sales, the institute said.

However, business at textile product manufacturers cooled down after demand linked to the 2024 Summer Olympic Games faded, it added.

Suppliers of chemical and petrochemical products as well as makers of base metals remained weighed by global overproduction, international oil price declines, and weak inventory replenishment demand, the institute said.

Makers of auto parts also struggled amid slowing car sales, it said, adding that firms have pessimistic views going forward, given concerns about new tariffs imposed by US president-elect Donald Trump after he returns to the White House on Jan. 20.

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