Electronics PMI growth dips by 0.3 points in October

There was a low rate of expansion across most key indicators.

The electronics sector purchasing managers' index (PMI) dropped 0.3 point from 53.6 to a slower expansion reading at 53.3 in October.

According to the Singapore Institute of Purchasing & Materials Management (SIPMM), the electronics sector has now recorded its 15th month of consecutive expansion.

SIPMM said the lower reading can be attributed to a slower rate of expansion in most key indicators of the sector.

The new electronics exports, which rose from 53.8 to 53.9, electronics finished goods, which rose from 50.5 to 50.7, and electronics input prices, which rose from 50.9 to 51.1, recorded a faster rate of expansion.

Electronics supplier deliveries recorded a slower rate of contraction.

"Anecdotal evidence of the survey suggest that most electronics manufacturers were concerned about the impact of digital innovations on their businesses," SIPMM said.

A reading of the PMI above 50 indicates that the manufacturing economy is generally expanding and that the economy is generally declining when the reading falls below 50.