01.08.202514:03:49UTC+00Singapore Manufacturing PMI Dips into Contraction

Singapore's Manufacturing Purchasing Managers' Index (PMI) dipped to 49.9 in July 2025, a slight decline from 50.0 in June, moving back into contraction territory following a brief expansion the previous month. Manufacturers maintained a cautious stance amidst ongoing uncertainties surrounding global trade policies and tariffs, prompting many businesses to postpone investment and hiring strategies. However, the electronics sector showcased resilience with its PMI rising marginally to 50.2 in July from 50.1 in June, marking a continuous expansion for the second consecutive month. This modest growth was driven by increases in new orders, new exports, factory output, and input purchases. Analysts highlighted that the disparity between the overall manufacturing and electronics PMIs signifies the persistent volatility caused by U.S. tariffs. Although Singapore's tariff rate is anticipated to remain stable at 10%, there are still indirect risks to its exports and economy due to trade connections with major partners.