Chart of the Day: Manufacturing output up 21.3% in December

Only transport engineering posted a decline.

Singapore's manufacturing output increased 21.3% in December 2016. Excluding biomedical manufacturing output grew 16.1%.

According to Singapore Economic Development Board, the electronics cluster’s output increased 49.4% in the said month, supported by the semiconductors segment, which recorded an increase in output of 94.0%. For the whole of 2016, output of the electronics cluster expanded 15.9% compared to 2015.

Output of the biomedical manufacturing cluster grew 44.9%. The pharmaceuticals segment expanded 53.8% with higher production of active pharmaceutical ingredients and biological products. The medical technology segment also grew 19.0% with higher output of medical instruments and ophthalmic goods. In 2016, output of the biomedical manufacturing cluster grew 13.6% compared to 2015.

On the other hand, output of the precision engineering cluster increased 6.1% in December, compared to the same month last year. The machinery & systems segment grew 8.5% with higher export demand for semiconductor related equipment while the precision modules & components segment recorded higher output of industrial rubber, dies, moulds, tools, jigs & fixtures and metal precision components. Output of the precision engineering cluster increased 0.8% in 2016, compared to 2015.

Meanwhile, the chemicals cluster’s output rose 4.1% on a YoY basis in December. Growth in the cluster was supported by higher output in the petrochemicals (18.4%), petroleum (16.7%) and specialties (4.1%) segments. The higher output in the petrochemicals and petroleum segments was partly due to plant shutdowns in December 2015 while higher output of mineral oil additives contributed to the growth of the specialties segment. The other chemicals segment registered output decline of 12.6%. Output of the chemicals cluster fell 0.9% in 2016 compared to 2015.

Output of the general manufacturing industries cluster grew 2.0% YoY in December 2016, mainly attributed to the 22.8% growth in the food, beverages & tobacco segment. However, growth in the cluster was moderated by declines in the miscellaneous industries (-10.6%) and printing (-14.6%) segments. The miscellaneous industries segment registered lower production of fibreglass products, metal doors, windows, grilles & gratings and other construction related materials, while lackluster demand in commercial printing resulted in lower print output. In 2016, output of the general manufacturing cluster declined 2.5% from a year ago.

It was only the transport engineering cluster that registered a contraction output contracted 10.5% YoY in December 2016. The aerospace and land transport segments grew 15.0% and 11.5% respectively but this was offset by decline in the marine & offshore engineering (-26.1%) segment. The marine & offshore engineering segment remained weak with lower output in oilfield & gasfield equipment and ship building & repair jobs. For the whole of 2016, the transport engineering cluster’s output was 17.8% lower than in 2015.