Singapore’s Manufacturing PMI edged up to 50.0 in August from 49.9 in July, returning to neutral growth territory as uncertainties over global trade frictions and US tariffs somewhat stable, providing a measure of quiet confidence for exports. The electronics sector, which accounts for around 40% of total manufacturing output, recorded a PMI of 50.4, up from 50.2 in July, marking a third straight month of expansion, supported by strong demand linked to the AI boom. The broader manufacturing reading was driven by faster expansion in new exports, new orders, and input purchases. Growth was also seen in finished goods, imports, and supplier deliveries. Order backlogs continued to rise, albeit at a slower pace, while factory output and employment contracted at a reduced rate. Meanwhile, a sub-index measuring future business expectations remained in contraction territory and shrunk at a faster pace in August, indicating that firms are still exercising caution amid lingering uncertainties.