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The Philippine manufacturing sector slowed in February even as majority of industry divisions recorded annual increases in volume and value
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After growing in January, the value of production index registered a 1.6% decline while the volume of production index dropped 2.4%
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The downtrend in both VaPI and VoPI in February was mainly attributed to the faster annual decrease in the manufacture of basic metals; slower increase in the manufacture of machinery and equipment except electrical; and the faster decrement in the manufacture of chemicals and chemical products
The Philippine manufacturing sector slowed in February even as majority of industry divisions recorded annual increases in volume and value, according to the latest data from the Philippine Statistics Authority (PSA).
The value of production index (VaPI) registered a 1.6% decline in February 2025, in contrast to the annual increases of 3% and 1.8% in January 2025 and February 2024, respectively, according to PSA’s latest Monthly Integrated Survey of Selected Industries.
The volume of production index (VoPI) likewise dropped 2.4% in February 2025 from a 2.3% and 3.2% growth in January 2025 and February 2024, respectively.
The downtrend in both VaPI and VoPI in February was mainly attributed to the faster annual decrease in the manufacture of basic metals; the slower increase in the manufacture of machinery and equipment except electrical; and the faster decrement in the manufacture of chemicals and chemical products.
Of the other 19 industry divisions, three exhibited annual drops in their VaPI during the period, while the other 16 industry divisions posted annual increments. The highest year-on-year increase was noted in the manufacture of leather and leather products, including footwear at 30.9%.
For VoPI, five industry divisions posted annual declines while 14 industry divisions exhibited annual increments during the period.
The value of net sales index, meanwhile, recorded a faster year-on-year increment of 9.3% in February 2025 from 8.9% in January 2025 mainly due to the growth in the manufacture of computer, electronic and optical products at 5.2%.
The volume of net sales index likewise saw a slightly faster increase of 8.4% in February 2025 from 8.2% in January 2025, also because of the increase in the manufacture of computer, electronic and optical products at 3.1%.
Based on MISSI’s responding establishments, the average capacity utilization rate for the manufacturing section in February 2025 was reported at 75.9%, slightly lower from the 76% average capacity utilization rate in January 2025.
All industry divisions reported capacity utilization rates of more than 60% during the month. The top three industry divisions in terms of reported capacity utilization rate were machinery and equipment except electrical at 83.7%, other manufacturing and repair and installation of machinery and equipment at 81.5%, and tobacco products at 79.6%.
