Singapore’s manufacturing output grows at slower pace of 16.3% in July

SINGAPORE: Singapore’s manufacturing output grew 16.3 per cent in July from the same period last year, boosted by the biomedical, transport and precision engineering clusters, official data showed on Thursday (Aug 26).

The expansion slowed from the previous month's 27.5 per cent increase.

Excluding biomedical manufacturing, output grew 5.8 per cent in July, said the Economic Development Board (EDB).

On a seasonally adjusted month-on-month basis, manufacturing output decreased 2.6 per cent in July, data showed.

BIOMEDICAL, TRANSPORT, PRECISION ENGINEERING

July's figure was headlined by a faster pace of growth in three main clusters: Biomedical, transport engineering and precision engineering.

The biomedical cluster expanded 86.6 per cent in July, with output growth seen across the pharmaceuticals and medical technology segments.

In particular, the pharmaceuticals segment grew 134.9 per cent, on the back of a different mix of active pharmaceutical ingredients and higher output of biological products. The medical technology segment rose 17.4 per cent with higher export demand for medical devices.

Output in the transport engineering cluster jumped 33.1 per cent in July, compared with June's 28.3 per cent increase.

All segments recorded output growth, with the transport engineering cluster growing 2.7 per cent in the period of January to July this year compared to the same period last year.

The marine & offshore engineering segment rose 52.6 per cent from a low base last year due to movement restrictions at foreign worker dormitories which adversely affected production. The aerospace segment grew 22.8 per cent from a low base of maintenance, repair and overhaul activities last year due to international travel restrictions amid the COVID-19 pandemic.

In the precision engineering cluster, output rose 20.3 per cent in July.

In particular, the machinery & systems segment grew 26.8 per cent with higher production of semiconductor equipment to cater to the strong capital investment in the global semiconductor industry. The precision modules & components segment rose 9.2 per cent, on account of higher production of metal and plastic precision components, as well as dies, moulds, tools, jigs and fixtures.

SLOWER PACE OF GROWTH IN SOME SECTORS

The pace of growth in the general manufacturing, electronics and chemicals industries clusters slowed.

General manufacturing output expanded 11 per cent year-on-year in July, compared with 17.4 per cent in June.

Electronics expanded 1.5 per cent, slowing from 26.2 per cent in June.

The chemicals industry cluster contracted 5.6 per cent, compared with 30.6 per cent the previous month.

The next monthly manufacturing performance media release will be issued on Sep 24.