-
The Philippine manufacturing sector exhibited sluggish growth in 2024 compared to 2023, based on preliminary data from the Philippine Statistics Authority
-
The annual average growth rate of value of production index saw an increase of 0.2%, much slower than the annual average increments of 6.3% and 22.5% in 2023 and 2022, respectively
-
2004’s 0.9% annual average growth rate of volume of production index is markedly down from the 4.9% and 15.1% growth rates in 2023 and 2022, respectively
The Philippine manufacturing sector exhibited sluggish growth in 2024 compared to 2023, based on preliminary data from the Philippine Statistics Authority (PSA).
Declines in six industry divisions contributed to last year’s lackluster growth: basic metals (-14.7%); printing and reproduction of recorded media (-12.4%); wood, bamboo, cane, rattan articles and related products (-12.3%); other non-metallic mineral products (-9.9%); other manufacturing and repair and installation of machinery and equipment (-9.9%); and tobacco products (-1.6%).
The annual average growth rate of value of production index (VaPI) saw an increase of 0.2% last year, much slower than the increments of 6.3% and 22.5% in 2023 and 2022, respectively, according to PSA’s latest Monthly Integrated Survey of Selected Industries (MISSI).
Meanwhile, 2004’s 0.9% annual average growth rate of volume of production index is markedly down from the 4.9% and 15.1% growth rates in 2023 and 2022, respectively.
For December alone, VaPI grew 0.4% after exhibiting an annual decrease of 3.5% in November 2024 and in contrast to the 3.7% increase in December 2023.
VoPI likewise rose 0.2% in December 2024 from a 3.9% decline in November 2024 and a 3% growth in December 2023.
The uptrend in the annual rate of VaPI in December 2024 was mainly attributed to the annual increase in the manufacture of computer, electronic and optical products at 8.6%. This was followed by the manufacture of coke and refined petroleum products, and manufacture of transport equipment, which both grew by 5.2% and 7.2%, respectively.
Of the remaining 19 industry divisions, 13 exhibited annual increments in their VaPI while six others posted annual drops. The highest year-on-year decrement was noted in the manufacture of basic metals at 18.2%.
For VoPI, the uptrend was also primarily driven by the annual increases of the same top three industry divisions, namely manufacture of computer, electronic and optical products (4.3%); coke and refined petroleum products (4.4%); and transport equipment (6.1%).
Of the remaining 19 industry divisions, 13 posted annual increases while six industry divisions exhibited annual declines in December 2024.
The value of net sales index accelerated to 6.5% in December 2024 from a 3.9% increase in November 2024, bringing the average growth from January to December to 1%.
The volume of net sales index (VoNSI) likewise registered a faster year-on-year increase of 6.3% percent in December 2024 relative to its annual increment of 3.4% in November 2024. This brings the average growth rate of VoNSI from January to December 2024 to 1.7%.
Based on MISSI’s responding establishments, the average capacity utilization rate for the manufacturing sector in December 2024 was reported at 75.5% from the 75.7% average capacity utilization rate in November.
All industry divisions reported capacity utilization rates of more than 60%. The top three industry divisions in terms of reported capacity utilization rate were manufacture of textiles at 81.4%, machinery and equipment except electrical at 81.1%, and other non-metallic mineral products at 80.7%.
READ: Food products sector pulls down PH manufacturing in Nov
