SINGAPORE- Singapore’s manufacturing output in February fell 1.3 percent from the same period a year earlier, bucking expectations of growth due mainly due to a steep decline in the biomedical sector, official data showed on Wednesday.
Analysts had expected a 7 percent year-on-year expansion in February, according to a Reuters poll.
On a month-on-month and seasonally adjusted basis, manufacturing output fell 7.5 percent in February, missing analysts’ expectations of a 0.1 percent expansion.
Biomedical manufacturing output fell 14.3 percent year-on-year and pharmaceuticals plunged 30 percent, data from the Singapore Economic Development Board showed, due to weaker demand.
Electronics also fell 6.4 percent year-on-year due to weakness in segments including semiconductors, which was down 9.5 percent.
Maybank economist Chua Hak Bin said Singapore’s manufacturing recovery momentum has clearly waned as consumers and businesses turn more cautious given uncertainty over US President Trump’s intention to implement new tariffs from April 2.
“Singapore will likely be spared from the reciprocal tariffs on April 2 as its not one of the ‘Dirty 15’, but may be hit if the 25 percent tariffs on semiconductors are introduced,” he said, referring to countries the United States has said it may focus its tariffs on.
