Taiwan sees mixed100 wristbands outlook for manufacturing, service sectors

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TAIPEI -- Manufacturers in Taiwan expected their business outlook to improve slightly in the coming six months, while the service sector saw a lukewarm future in the same period, indicated the latest readings by Taiwan Institute of Economic Research (TIER) Monday.

In its latest business outlook survey in February, the think-tank TIER said 43.1 percent of responding manufacturers expected better business in the coming six months, up 12.5 percentage points from the previous month, while 9.9 percent of respondents perceived a worsening outlook, down 8.4 percentage points from previous month.

The manufacturing composite indicator for February 2019 adjusted for seasonal factors on moving average, moved up to 91.29 points from a revision of 89.68 points in January. The benchmark of 100 points was set in 2006.

For the service sector, the TIER service sector composite indicator for February 2019 adjusted for seasonal factors weakened to 92.05 points, down 0.21 points from the previous correction.

In addition, the TIER construction sector composite indicator for February 2019 adjusted for seasonal factors swung back to a slight increase by 0.41 points to reach 94.04 points in February, compared with a downward revision by 1.13 points at 93.59 points.

Analyzed by sub-industries, the sentiments for 14 sectors, including yarn spinning mills, industrial chemicals, chemical raw materials, porcelain and ceramic product makers and automobile parts makers, worsened in February and will continue to in the coming six months.

The sentiments for seven sub-sectors, including chemical products manufacturers, cement product makers, bankers and insurers, faltered in the February survey but are expected to improve over the next six months.

The outlook worsened in February for 24 sub-industries, including food and edible oil manufacturers, and the sentiments are expected to remain unchanged in the coming six months.