Energy Crisis Disrupts Asia's Manufacturing Chain, Thailand and Malaysia Expand Against Market Trends

Golden Ten Data, April 1 — Despite energy supply disruptions driven by the US-Israel versus Iran conflict, which have pushed up oil prices, most Asian manufacturing sectors still achieved expansion in March, with improved activity in South Korea, Malaysia, and Thailand. Data released by S&P Global on Wednesday showed that the conflict appears to have exerted pressure on activity in Vietnam, Indonesia, and the semiconductor hub Taiwan, as indices for these regions fell compared to February, but still remained above the boom-bust line of 50. Thailand led the region with a reading of 54.1, while Malaysia returned to the expansion range after experiencing contraction last month. “The initial signs of the Middle East war have begun to emerge among ASEAN economies. The outlook for the region remains uncertain and will be affected by the intensity and duration of the Middle East war,” said Maryam Baluch, S&P Global Market Intelligence economist, in a statement.