02.01.202600:48:28UTC+00Taiwan Manufacturing Returns to Growth in December

The S&P Global Taiwan Manufacturing PMI advanced to 50.9 in December 2025, up from 48.8 in November, signaling an improvement in operating conditions for the first time since February. Both output and new orders showed growth for the first time since March, driven by firmer demand conditions and the stabilization of overseas sales, despite ongoing sluggishness in the global economy. Production volumes saw a slight rise, with purchasing activities and inventories also expanding in anticipation of stronger future sales. However, employment saw a slight decline as manufacturers exercised caution in hiring due to increasing cost pressures. On the cost front, input prices surged at their quickest rate in approximately 17 months due to heightened raw material costs and supplier shortages, while selling prices saw only a modest rise, reflecting limited pricing power. Business confidence continued to strengthen, with optimism regarding output for the upcoming year reaching its highest level since March.