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The Philippine manufacturing sector grew at a faster pace in both value and volume production in March 2026 with more industry divisions recording annual increases
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The value of production increased 10.5% in March 2026 while the volume of production index also registered faster growth to 7.8%
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The manufacture of coke and refined petroleum products, basic metals, and transport equipment were the main contributors to the growth in both VaPI and VoPI
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The average capacity utilization rate for the manufacturing section in March 2026 was reported at 78.5%
The Philippine manufacturing sector grew at a faster pace in both value and volume production in March 2026 with more industry divisions recording annual increases, according to preliminary data from the Philippine Statistics Authority (PSA).
The value of production (VaPI) increased 10.5% in March 2026, faster than the 0.1% and 4.5% growth in March 2025 and February 2026, respectively, according to PSA’s latest Monthly Integrated Survey of Selected Industries (MISSI).
The volume of production index (VoPI) also registered faster growth in March to 7.8% from the 3.1% increment in February 2026 and in contrast to the 0.6% decline in March 2025.
The acceleration in VaPI for March was mainly attributed to the 16.6% growth in the manufacture of coke and refined petroleum products, which contributed 41.1% to the annual growth rate of VaPI.
Other primary contributors were the faster increases recorded in the manufacture of computer, electronic and optical products, and the manufacture of basic metals.
Of the remaining 19 industry divisions, 13 industry divisions exhibited annual increments, while the other six posted annual declines in their VaPI during the period.
For VoPI, the slower decline in the manufacture of coke and refined petroleum products, and the faster increase in the manufacture of basic metals, and transport equipment drove the growth in VoPI.
Thirteen other industry divisions posted annual increases in March 2026 while six industry divisions exhibited annual decreases in their VoPI during the period.
Based on MISSI’s responding establishments, the average capacity utilization rate for the manufacturing section in March 2026 was reported at 78.5%, a higher rate than the 77.6% in February 2026 and 76.4% in March 2025.
All industry divisions reported capacity utilization rates of more than 65% during the month. The top three industry divisions in terms of reported capacity utilization rate were coke and refined petroleum products at 84.4%, machinery and equipment except electrical at 82.3%, and other manufacturing and repair and installation of machinery and equipment at 81.8%.
READ: Manufacturing output volume up 1.2% in Jan 2026
