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    <title>Aaj TV English News - News</title>
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    <pubDate>Sun, 05 Apr 2026 21:53:20 +0500</pubDate>
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      <title>Asia factories see momentum weaken on rising costs, new Covid curbs
</title>
      <link>https://english.aaj.tv/news/30261987/</link>
      <description>&lt;p&gt;&lt;strong&gt;By Leika Kihara&lt;/strong&gt;&lt;/p&gt;

&lt;p&gt;&lt;strong&gt;Asia's factory activity saw momentum weaken in June as some countries struggled with rising input costs and the reintroduction of curbs to combat a new wave of coronavirus infections, surveys showed on Thursday.&lt;/strong&gt;&lt;/p&gt;

&lt;p&gt;Manufacturing activity grew at a slower pace in China and Japan amid rising raw material prices, while activity shrank in Vietnam, Malaysia and India, where governments imposed tougher restrictions to contain fresh coronavirus outbreaks.&lt;/p&gt;

&lt;p&gt;The data shows the region is lagging behind western economies in recovering from the pandemic doldrums, reinforcing the view that many regional central banks are unlikely to withdraw pandemic-era stimulus any time soon.&lt;/p&gt;

&lt;p&gt;"The June PMIs dropped back as virus outbreaks and supply chains issues created mounting headwinds for industry," said Alex Holmes, emerging Asia economist at Capital Economics.&lt;/p&gt;

&lt;p&gt;"With neither issue likely to be resolved soon, the rapid growth in industry over the past few quarters looks unlikely to be repeated."&lt;/p&gt;

&lt;p&gt;China's factory activity expanded at a softer pace in June with output growth slumping to the lowest level in 15 months, according to a private survey, in line with an official survey showing a dip in activity to a fourth-month low.&lt;/p&gt;

&lt;p&gt;The Caixin/Markit Manufacturing Purchasing Managers' Index (PMI) fell to 51.3 in June from May's 52, marking the 14th month of expansion but coming in below analyst expectations for only a slight slowdown to 51.8.&lt;/p&gt;

&lt;p&gt;Higher raw material costs and shortage of semiconductor chips also hurt export powerhouses including Japan, which saw factory activity expand at the slowest pace in four months in June.&lt;/p&gt;

&lt;p&gt;South Korea fared better with factory activity growing for a ninth consecutive month in June, though record input and output price rises pointed to strains on manufacturers.&lt;/p&gt;

&lt;p&gt;"Manufacturers were increasingly commenting that severe supply chain disruption was starting to impact activity," said Usamah Bhatti, an economist at IHS Markit.&lt;/p&gt;

&lt;p&gt;&lt;strong&gt;SLOW RECOVERY EYED&lt;/strong&gt;&lt;/p&gt;

&lt;p&gt;Once seen as a driver of global growth, Asian's emerging economies are lagging advanced economies in recovering from the pandemic's pain as delays in vaccine rollouts hurt domestic demand and countries reliant on tourism.&lt;/p&gt;

&lt;p&gt;Vietnam's PMI plunged to 44.1 in June from 53.1 in May, marking the sharpest deterioration in business conditions for over a year and sliding below the 50-mark that separates growth from contraction.&lt;/p&gt;

&lt;p&gt;Malaysia's PMI fell to 39.9 in June from 51.3 in May as renewed COVID curbs weighed on external and domestic demand. The PMI for Taiwan also fell to 57.6 from 62.0.&lt;/p&gt;

&lt;p&gt;India's factory activity also contracted for the first time in almost a year in June as restrictions to contain the deadly second wave of the coronavirus hit demand.&lt;/p&gt;

&lt;p&gt;The final au Jibun Bank Japan Manufacturing PMI in June slipped to 52.4 on a seasonally adjusted basis from 53.0 in the previous month, coming in at its lowest since February.&lt;/p&gt;

&lt;p&gt;South Korea's PMI edged up to 53.9 in June from 53.7 in May, though the sub-index for input prices jumped to a record in a sign companies were feeling the pinch from rising raw material costs. &lt;/p&gt;
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      <content:encoded xmlns="http://purl.org/rss/1.0/modules/content/"><![CDATA[<p><strong>By Leika Kihara</strong></p>

<p><strong>Asia's factory activity saw momentum weaken in June as some countries struggled with rising input costs and the reintroduction of curbs to combat a new wave of coronavirus infections, surveys showed on Thursday.</strong></p>

<p>Manufacturing activity grew at a slower pace in China and Japan amid rising raw material prices, while activity shrank in Vietnam, Malaysia and India, where governments imposed tougher restrictions to contain fresh coronavirus outbreaks.</p>

<p>The data shows the region is lagging behind western economies in recovering from the pandemic doldrums, reinforcing the view that many regional central banks are unlikely to withdraw pandemic-era stimulus any time soon.</p>

<p>"The June PMIs dropped back as virus outbreaks and supply chains issues created mounting headwinds for industry," said Alex Holmes, emerging Asia economist at Capital Economics.</p>

<p>"With neither issue likely to be resolved soon, the rapid growth in industry over the past few quarters looks unlikely to be repeated."</p>

<p>China's factory activity expanded at a softer pace in June with output growth slumping to the lowest level in 15 months, according to a private survey, in line with an official survey showing a dip in activity to a fourth-month low.</p>

<p>The Caixin/Markit Manufacturing Purchasing Managers' Index (PMI) fell to 51.3 in June from May's 52, marking the 14th month of expansion but coming in below analyst expectations for only a slight slowdown to 51.8.</p>

<p>Higher raw material costs and shortage of semiconductor chips also hurt export powerhouses including Japan, which saw factory activity expand at the slowest pace in four months in June.</p>

<p>South Korea fared better with factory activity growing for a ninth consecutive month in June, though record input and output price rises pointed to strains on manufacturers.</p>

<p>"Manufacturers were increasingly commenting that severe supply chain disruption was starting to impact activity," said Usamah Bhatti, an economist at IHS Markit.</p>

<p><strong>SLOW RECOVERY EYED</strong></p>

<p>Once seen as a driver of global growth, Asian's emerging economies are lagging advanced economies in recovering from the pandemic's pain as delays in vaccine rollouts hurt domestic demand and countries reliant on tourism.</p>

<p>Vietnam's PMI plunged to 44.1 in June from 53.1 in May, marking the sharpest deterioration in business conditions for over a year and sliding below the 50-mark that separates growth from contraction.</p>

<p>Malaysia's PMI fell to 39.9 in June from 51.3 in May as renewed COVID curbs weighed on external and domestic demand. The PMI for Taiwan also fell to 57.6 from 62.0.</p>

<p>India's factory activity also contracted for the first time in almost a year in June as restrictions to contain the deadly second wave of the coronavirus hit demand.</p>

<p>The final au Jibun Bank Japan Manufacturing PMI in June slipped to 52.4 on a seasonally adjusted basis from 53.0 in the previous month, coming in at its lowest since February.</p>

<p>South Korea's PMI edged up to 53.9 in June from 53.7 in May, though the sub-index for input prices jumped to a record in a sign companies were feeling the pinch from rising raw material costs. </p>
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      <guid>https://english.aaj.tv/news/30261987</guid>
      <pubDate>Thu, 01 Jul 2021 11:35:10 +0500</pubDate>
      <author>none@none.com (Reuters)</author>
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        <media:title>Asian's emerging economies are lagging advanced economies in recovering from the pandemic's pain as delays in vaccine rollouts hurt domestic demand and countries reliant on tourism. Reuters
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