Asian Factories Show Mixed Performance as 2025 Begins, With Tech Exporters Rebounding
According to the Economic Desk of Webangah News Agency, purchasing managers’ indices released by S&P Global on Friday revealed that manufacturing activity in key Asian technology exporters South Korea and Taiwan halted their multi-month declines in December, while most economies in Southeast Asia continued their rapid expansion.
The data follows China’s unexpected PMI rebound earlier in the week, which showed improved factory activity in the world’s second-largest economy fueled by pre-holiday order increases.
Emerging markets economist Shivan Tandon of Capital Economics noted: “Most countries have seen export growth in recent months, and we maintain a positive short-term outlook for Asia’s export-oriented manufacturing sectors.” He added that Asian economies should continue benefiting from both U.S. demand shifting from China and strong global demand for AI-related hardware.
Taiwan’s PMI rose from 48.8 in November to 50.9 in December, crossing the 50-point threshold that separates growth from contraction for the first time in ten months. S&P Global associate director Annabel Fiddes stated: “Taiwan’s manufacturing sector ended 2025 on a high note, with firms reporting stronger demand conditions, increased production, and new business growth.”
Similarly, South Korea’s PMI increased from 49.4 to 50.1, with both semiconductor powerhouses benefiting from the AI boom. South Korea’s survey recorded the sharpest new order growth since November 2024, with manufacturers citing new product releases and improved foreign demand.
Official data showed South Korea’s December exports exceeded forecasts, while factories across most of Asia maintained growth, though Indonesia and Vietnam reported slight slowdowns. India’s factory activity grew at its weakest pace in two years but remained among the region’s strongest performers.
