Asia’s industrial activity weakens due to slumping global demand, cost pressures
The HeadQuarters Think Tank analysis show that the weakness of the major world currencies against the US $ has massively increased inflation globally, causing domestic price pressures to very high levels and creating a severe imbalance in the imports and exports of many countries.
BEIJING, 3rd Oct, 2022 (The HQ News) – Asia’s industrial production output has greatly weakened in the month of September due to decreasing demand in China, Europe and the United States.
The persistent cost pressures have also played a major role in the drastic decrease of purchasing power in these countries.
The renewed strict COVID lockdowns are also a major factor disrupting production and decreasing sales in China.
The data clouds the outlook for Asia’s recovery from the COVID-19 pandemic, and could add to concerns of a global slowdown as major central banks embark on the most aggressive round of rate rises in decades to tame soaring inflation.
Japan’s PMI survey claims that new orders shrank at the fastest rate in two years, while output posted its sharpest decline in a year due to weakening demand from China and other trading partners.