- December saw business conditions at manufacturing firms in Indonesia deteriorate for the fifteenth successive month, with both production and new orders dropping again.
- In line with the weakness in demand conditions, companies continued to trim workforce numbers.
- Meanwhile, inflationary pressures persisted as indicated by further increases in both input costs and factory gate charges.
- Although rising from 46.9 in November to 47.8 in December, the seasonally adjusted Nikkei Indonesia Manufacturing Purchasing Managers’ Index (PMI).
- Recorded below the crucial 50.0 threshold for the fifteenth straight month, signalling a further deterioration in business conditions across the sector. Moreover, the average reading for the PMI over the last quarter of the year (47.5) was slightly below that seen in Q3 (47.7).
Nikkei Indonesia Manufacturing PMI Dec 2015.pdf