Bright Spot: Philippine Manufacturing PMI Hits 8-Year High of 54.6 in February — Strongest Factory Growth Since 2017
Amid all the doom and gloom from the Middle East, here's some genuinely good economic news: Philippine manufacturing activity surged to its strongest level in over 8 years in February 2026. The S&P Global Philippines Manufacturing PMI jumped to 54.6 from 52.9 in January — the highest reading since November 2017.
Factory output rose at its fastest pace since November 2018, driven by a sharp influx of new orders. The new business index also hit its highest level in more than eight years, fueled by new client acquisitions and bulk purchasing activity. This marks three consecutive months of manufacturing expansion.
S&P Global economist Maryam Baluch called it a 'solid start to 2026,' noting that both output and new orders reached historically pronounced multi-year highs. Manufacturers responded by ramping up purchasing activity, while employment continued to grow for a second straight month, though at a modest pace.
Export orders also expanded for a second consecutive month, signaling growing foreign demand for Philippine-made goods. With new orders outpacing hiring, work backlogs increased — suggesting manufacturers may need to boost staffing in the coming months.
The PMI data is a reminder that despite the geopolitical turbulence, the Philippine economy's manufacturing backbone is humming. The question now is whether the oil price shock and Middle East uncertainty will dampen this momentum in March.
Source: Manila Bulletin
