The S&P Global Philippines Manufacturing PMI rose to 54.6 in February 2026 from 52.9 in January, marking a third consecutive month of expansion and the strongest overall performance since November 2017. Firms reported that sustained growth in new orders prompted them to increase production, resulting in the fastest rise in output since November 2018. In turn, purchasing activity expanded at its sharpest pace since January 2025, alongside more active inventory accumulation.
Manufacturers also added to their workforce for a second straight month, yet these efforts were insufficient to prevent a renewed build-up of backlogs, which increased at the quickest rate in three months. On the cost side, companies reported lower operating expenses, enabling them to reduce selling prices. Finally, sentiment toward output over the next 12 months improved, showing a notable rebound from the recent low seen in the previous month.
