Home / Knowledge / News / Textiles / Manufacturing growth setback amid US-PRC trade war: UNIDO

Manufacturing growth setback amid US-PRC trade war: UNIDO

16
Sep '19
Pic: Shutterstock
Pic: Shutterstock
World manufacturing production growth may slow down in 2019 because of the continuing US-China trade conflict, according to latest estimates from the United Nations Industrial Development Organisation (UNIDO), which said the growth rate of global manufacturing value added (MVA) is likely to drop to 2.7 per cent in 2019 compared to 3.2 per cent in 2018.

A report released recently by UNIDO Statistics observes that the pace of MVA growth has been slowing down in both the United States and China. While annual growth in the United States is likely to drop to 1.9 per cent in 2019 following a rate of 3 per cent in 2018, China’s manufacturing growth is expected to drop below 6.0 per cent for the first time in decades.

The slowdown in China and the United States has had a wider impact on global manufacturing. US restrictions on the import of several manufactured goods, compounded by uncertainties over Brexit, have resulted in a downturn in European manufacturing, which is expected to grow at less than 1 per cent in 2019. Growth in East Asia is expected to be moderate at a rate of 1.6 per cent.

The overall growth of industrialised economies in 2019 is expected to drop to 1.3 per cent from 2.1 per cent in 2018. Developing and emerging industrial economies (excluding China) are expected to achieve a slightly higher growth in 2019 at around 3 per cent, compared to 2.7 in 2018. At the regional level, Latin American countries are expected to reverse the declining trend observed in recent years.

The world manufacturing growth rate dropped to 1.7 per cent in the second quarter of 2019, compared to 2.2 per cent in the first quarter of the year.

For the first time in several years, manufacturing in industrialised economies has plunged to a negative growth rate. The decline was mainly attributed to the slowdown in Europe and East Asia.

Manufacturing output dropped in Germany by 5 per cent, in Italy by 1.5 per cent, in Japan by 1.2 per cent and in South Korea by 2.6 per cent.

The manufacturing output of developing and emerging industrial economies, excluding China, rose at a marginal rate of 1 per cent in the second quarter. Several emerging industrial economies encountered sluggish growth. Manufacturing output rose by 2.9 per cent in India and 1.4 per cent in Mexico, but dropped by 3.5 per cent in Turkey.

Ongoing deceleration has affected the growth of high-technology sectors. In the second quarter of 2019, high-tech sectors had lower growth than low-technology sectors that mainly produce the basic consumer goods such as food beverages and clothes. (DS)

Fibre2Fashion News Desk – India


Interviews View All

Marazban F Velati, Sutlej Textiles & Industries limited

Marazban F Velati
Sutlej Textiles & Industries limited

No training can be effective till the candidate believes in it.

Footwear industry, Head honchos

Footwear industry
Head honchos

There is rising demand for fancy, trendy and yet comfortable footwear

Victor Chao, Esmetex

Victor Chao
Esmetex

‘In future, clothing boundary lines will become increasingly blurred.’

Ronald Van Den Broek,

Ronald Van Den Broek

Headquartered in Japan, Mimaki Engineering Co. Ltd. manufactures and...

Kamal Kulshreshth,

Kamal Kulshreshth

Colorjet is among the fastest-growing wide format digital inkjet print...

Ashish M Amin,

Ashish M Amin

Premier Looms is a leading provider of cutting-edge machinery and...

Dave Rousse, INDA

Dave Rousse
INDA

INDA, the Association of the Nonwoven Fabrics Industry, serves hundreds of ...

Justin Chan & Shyam Gollakota, University of Washington

Justin Chan & Shyam Gollakota
University of Washington

A fabric that can store data without any electronics or batteries has been ...

Michael Jaenecke, Messe Frankfurt

Michael Jaenecke
Messe Frankfurt

From May 14 to 17, international exhibitors will present the entire...

Sandeep and Sarah Shaikh Gonsalves, SS Homme

Sandeep and Sarah Shaikh Gonsalves
SS Homme

SS Homme celebrates the craft of traditional tailoring through the bespoke ...

Aneeth Arora, Péro

Aneeth Arora
Péro

The Woolmark Company has partnered with handmade fashion label Péro and...

Rajesh Pratap Singh, Rajesh Pratap Singh

Rajesh Pratap Singh
Rajesh Pratap Singh

<div>Ace fashion designer <b>Rajesh Pratap Singh</b> has used Tencel to...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


October 2019

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Follow us on instagram

Follow

Follow Fibre2Fashion On


Advanced Search