Chart of the day: Manufacturing momentum slows in May

Cooling global trade demand and higher supply costs are the cause of the slowdown.

This chart from RHB shows the year-to-date growth in key manufacturing clusters with manufacturing momentum having slowed considerably, with industrial production merely rising by 0.7% in May MoM in the three months moving average (3MMA) compared to 2.6% in April MoM (3MMA). This is three times slower, RHB said.

The drivers behind the slowdown were identified as the cooling global trade demand and higher supply costs, and these could persist into the year ahead.

“As cited in our latest NODX report, we identified three key risks that may shape the course. These include trade headwinds led by the Russia-Ukraine tensions, higher inflation dynamics seen year-to-date, and external uncertainties surrounding COVID-19 across the globe and the exacerbation of global supply chain disruptions,” RHB said.

Despite that, more than 50% of the manufacturing clusters grew, with the electronics cluster leading the way.

Follow the link for more news on

RHB

Chart of the Day

Also Read

SP and Federation of Malaysian Manufacturers partner to boost tech talent in manufacturing

Lee Keen Whye steps down as Santak Holdings board chair

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

I want to download the media kit