Philippine manufacturing production contracted in November 2025 as significant declines in petroleum and beverages outweighed gains in other sectors, government data showed Tuesday.
The volume of production index (VoPI) fell 1.5 percent year-on-year in November, a reversal from the 1.0 percent growth recorded in October 2025. The performance was an improvement compared to the 4.5-percent decline seen in November 2024, according to the Philippine Statistics Authority (PSA).
The downturn was led by three industries. Coke and refined petroleum products saw a sharp 11.4 percent decrease, accelerating from a 2.7 percent drop in October. Beverage production fell 2.8 percent following a 4.9 percent increase the previous month, while food product manufacturing saw growth slow to 4.2 percent from 8.1 percent in October.
The value of production index (VaPI) also moved into negative territory, posting a 1.4-percent annual decrease in November from a 1.5-percent increase in October. PSA officials said the slowdown in food manufacturing, which holds the highest weight in the index, contributed 27.9 percent to the overall decline in value.
Within the food sector, the manufacture of vegetable and animal oils fell 4.1 percent, while meat processing growth slowed to 7.2 percent from 16.0 percent.
Despite the overall contraction, 9 of 22 industry divisions reported growth. The manufacture of basic metals and chemical products remained among the top contributors to the remaining production volume.
Average capacity utilization for the manufacturing sector stood at 77.4 percent in November, slightly lower than 77.6 percent in October but higher than 76.4 percent seen a year earlier. All divisions maintained utilization rates above 60.0 percent.
Refined petroleum products led the sector in efficiency with a utilization rate of 83.9 percent, followed by the repair and installation of machinery at 82.9 percent and electronic products at 81.3 percent.
PSA data indicated that about 33.2 percent of establishments operated at full capacity, defined as 90 to 100 percent.
