Puerto Rico Manufacturing PMI increased to 52.5 in November ’23
The Puerto Rico Manufacturing-Purchasing Managers Index (PRM-PMI) to keep tabs on the island’s manufacturing sector showed an increase to 52.5 in November, indicating that the industry expanded compared to previous month.
Production, Employment and Own Inventories subindexes increased from the previous month, all surpassing the threshold level of 50, which signifies growth. Any figure below 50 indicates contraction, according to the PRM-PMI, a collaborative project between the Puerto Rico Manufacturers Association and the Puerto Rico Institute of Statistics.
In a supplemental survey of manufacturing establishments, the most significant challenges faced by companies over the past month were in human resources (employment 75%, absenteeism 8%) and operations (supply chain logistics 8%, sales 8%, transportation costs 8%, material costs 8% and changes in consumer preferences 8%).
The PRM-PMI report shows the following results for the subindexes measured during November:
- The New Orders PMI (NSA) decreased to 43.8, remaining below the threshold for three consecutive months.
- The Production PMI (NSA) increased to 46.9, staying below the threshold for two consecutive months.
- The Employment PMI (NSA) increased to 56.3, after being below the threshold the previous month.
- The Own Inventories PMI (NSA) increased to 65.6, staying at or above the threshold for eight consecutive months.
- The Supplier Deliveries PMI (NSA) remained the same at 50, at the threshold for two consecutive months.
The PRM-PMI measures short-run business conditions in Puerto Rico’s manufacturing sector and provides a broad-based metric for the productive side of Puerto Rico’s economy.
