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Singapore factory output posts sixth straight month of growth; up 2.1% in April: EDB
SINGAPORE factory output rose 2.1 per cent in April, its sixth straight month of growth, as the linchpin electronics cluster continued to underpin gains.
The latest growth eases from the year-on-year increase of 7.6 per cent in March, and fell short of the median estimate of 3.5 per cent expansion in a Bloomberg poll.
When biomedical contributions were excluded, industrial production added 11.1 per cent, thanks in part to the “circuit-breaker” measures introduced in April last year, according to the Economic Development Board (EDB) on Tuesday.
That’s even as the volatile biomedical manufacturing cluster declined by 22.7 per cent from a year ago, led by a 24.7 per cent drop in the pharmaceuticals segment due to a different mix of active pharmaceutical ingredients. The medical technology segment, in contrast, grew with higher export demand for medical devices.
On the other hand, electronics rose by 6.1 per cent, with all segments recording higher production.
Similarly, precision engineering – which produces semiconductor-related equipment – grew 20.4 per cent amid strong capital investment in the global semiconductor industry, which saw the machinery and systems segment spike by 27 per cent.
“The precision modules & components segment rose 10.5 per cent with higher production of plastic and metal precision components, as well as dies, moulds, tools, jigs and fixtures,” EDB added.
Chemicals output was positive, increasing 14.4 per cent in April on mixed performances in its segments. Petrochemicals exhibited strong growth due to base effects, as production a year ago was low due to plant maintenance shutdowns. The specialties segment also expanded with higher production of industrial gases and additives, but the other chemicals and petroleum segments declined.
Reversing the trend after 12 straight months of decline, transport engineering expanded 19 per cent, with a huge growth of 101.1 per cent in the land segment due to the low base from domestic “circuit-breaker” measures and lockdowns in export markets last year. The grounding of aircrafts last year also brought about growth in the aerospace segment in April 2021.
“Conversely, the marine and offshore engineering segment contracted 5.9 per cent as the levels of activity in the shipyards remained low on account of weak demand and labour shortages due to border restrictions,” EDB said.
Meanwhile, general manufacturing output added 18 per cent, which the agency attributed in part to a gradual pick-up in domestic demand for construction-related products in the miscellaneous industries segment. However, the printing and food, beverage and tobacco segments fell, with the latter recording lower production of milk products due to weaker export demand.
On a seasonally adjusted, monthly basis, industrial production expanded by 1 per cent in April, but contracted 0.6 per cent when biomedical manufacturing was excluded.
Source: https://www.businesstimes.com.sg/government-economy/singapore-factory-output-posts-sixth-straight-month-of-growth-up-21-in-april-edb