The Philippines’ factory production volume rose by 1.4 percent in August 2025, according to government data, rebounding from a 1.8-percent decline in July.
The volume of production index (VoPI) increased largely due to a jump in the output of food products, the Philippine Statistics Authority (PSA) said in its Monthly Integrated Survey of Selected Industries (MISSI) report.
Food product manufacturing saw volume growth of 20.2 percent in August, up from 11.4 percent in July 2025.
Manufacture of machinery and equipment except electrical also contributed to the rise, posting a 6.7-percent annual increment in August. the manufacture of basic metals showed a slower annual decline of 9.6 percent.
The PSA also noted that the acceleration in food products was led by a faster annual increase in the manufacture of vegetable and animal oils and fats, which grew 35.4 percent in August 2025 from 6.5 percent a month earlier.
The value of production index (VaPI) also registered an annual recovery, climbing 2.0 percent in August 2025 after a 1.9-percent annual decline in July 2025. This uptrend was mainly attributed to the faster annual increase in the manufacture of food products, which was up 21.0 percent during the month and accounted for 46.3 percent of the total VaPI uptrend for the manufacturing section.
The other primary contributors to the VaPI rise were a slower annual decrease in the manufacture of basic metals at 7.8 percent and the manufacture of coke and refined petroleum products at 6.8 percent.
The average capacity utilization rate for the manufacturing sector rose slightly to 77.3 percent in August 2025 from 77.2 percent the previous month.
The top three industry divisions in terms of reported capacity utilization rate were the manufacture of tobacco products at 85.8 percent, the manufacture of coke and refined petroleum products at 82.8 percent and the manufacture of beverages at 81.0 percent.
The value of net sales index (VaNSI) for the manufacturing section, however, slowed its year-on-year increment to 2.9 percent in August 2025 from 3.8 percent in July 2025.
This deceleration was mainly attributed to the slower annual increase in the manufacture of computer, electronic and optical products at 0.2 percent.
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