Manufacturing PMI rises to five-year high
AI-summarised brief · reviewed before publication
Taiwan’s manufacturing purchasing managers’ index rose to 63.4 in September, the strongest level since August 2021, as AI‑related hardware demand propelled growth across all six major industries. The index’s jump from 61.7 in August reflected expanding output despite a 2.9‑point dip in the new‑orders sub‑index to 63.6 and mounting supply‑chain strains, including material shortages, excess inventories and longer delivery times. Manufacturers are shifting focus from pure expansion to inventory and logistics management while coping with higher raw‑material costs driven by rising energy prices and Middle‑East tensions. The six‑month outlook remained firmly expansionary at 59.5, the highest since May 2024, and the non‑manufacturing PMI climbed to 56.9 for a 19th straight month, suggesting the manufacturing surge is spilling into services.
💡 Why It Matters
- · AI‑driven demand is turning Taiwan into a pivotal hub for high‑tech production, reshaping supply chains and prompting other sectors to accelerate adoption to keep pace.
