Manufacturing output rises 7.2% in June on electronics gains

However, chemicals and biomedical manufacturing contracted.

Manufacturing output rose 7.2% year-on-year in June, supported by growth in the electronics, precision engineering, and transport engineering clusters, according to data from EDB Singapore.

Electronics output climbed 21.3%, on the back of sustained artificial intelligence-related demand.

By segment, infocomms and consumer electronics expanded 32.1%, whilst semiconductor production increased 21.1%.

Precision engineering production went up by 14.9%, supported by higher output of semiconductor equipment in the machinery and systems segment.

Transport engineering output grew 4.6%. The aerospace segment expanded 11.2% on higher aircraft-parts production and continued maintenance, repair, and overhaul work from commercial airlines.

Meanwhile, other manufacturing clusters contracted. Chemicals output fell 11.7% amidst feedstock supply disruptions that affected petroleum and petrochemical production.

Petrochemicals recorded the largest segment-level decline at 52.7%.

Biomedical manufacturing production also decreased 11.4%, led by a 34.4% drop in pharmaceuticals output. Medical technology output slipped 0.7%.

General manufacturing industries slipped 6.8%, as lower production of milk powder, beverages and cocoa products pushed the food, beverages and tobacco segment down 16.9%.

Excluding biomedical manufacturing, output increased 9.6%. For the first six months, total manufacturing production grew 9.9%, or 14% when biomedical manufacturing was excluded.

Despite the annual increase, manufacturing output fell 7.2% month-on-month on a seasonally adjusted basis in June. Excluding biomedical manufacturing, production decreased 11.2%.

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