The official manufacturing purchasing managers’ index (PMI) posted 59.3 this month, above the expansion threshold for 18 straight months, but increasing costs might weaken companies’ profitability next year, the Chung-Hua Institution for Economic Research (CIER, 中華經濟研究院) said yesterday.
The Taipei-based think tank said that its assessment is based on a month-long survey of local firms.
PMI readings aim to gauge the health of the manufacturing industry, with scores above 50 indicating expansion and scores below 50 suggesting a contraction.
The growth extended across all manufacturing sectors, as local companies benefited from the recovery of the global economy, the survey showed.
“Companies generally expect