Taiwan's Manufacturing Industry Contracted For 4 Consecutive Months.

Xinhua news agency, Taipei, September, 2 (reporter Peng Peigen and Zhao Bo) the Taiwan Institute of Economic Research of China announced on 2, in August, the Manufacturing Purchasing Managers Index (PMI) of Taiwan increased by 0.2 percentage points to 48.2%, showing a tight contraction for 4 consecutive months.

In the economic monitoring index system, PMI takes 50% as the prosperity and decline line, when the index is greater than 50%, representing the prosperity expansion, otherwise it is deflation.

In the five indicators that constituted PMI, new orders and inventories contracted for fourth consecutive months, with an index of 48.9% and 46.1%, respectively. The production volume index was 57.1% showing expansion, and the manpower employment index fell back to 48.3%, and the delivery time of suppliers decreased.

The "Academia Sinica" report also shows that the outlook for Taiwan's overall manufacturing industry in the next 6 months has contracted for 4 consecutive months, and the index has fallen 4.8 percentage points to 44.5%. In the next 6 months, the outlook for the whole non manufacturing sector continued to expand for only 1 months. In August, it fell 6.1 percentage points to 44.9%, the fastest tightening rate since February 2019.

In addition, the Taiwan Institute for financial research recently announced that the banking high level index (BEI) fell to its lowest level this year, reflecting the prospect of senior managers in Taiwan's banking industry in the next three months and the financial market in the next three months.