Manufacturing activity across the ASEAN improved in January, extending the sector's growth streak to seven months, data from S&P Global showed Monday.

The S&P Global ASEAN Manufacturing Purchasing Managers' Index rose to 52.8 from 52.7 in December 2025, signalling another broad-based improvement in operating conditions.

Output increased sharply, with production rising for a seventh straight month at one of the fastest paces in nearly three years, supported by sustained growth in new orders despite a slight easing in momentum.

Firms stepped up purchasing activity at the quickest pace since April 2023 to meet higher production needs, S&P said.

Employment increased for a fifth consecutive month, though hiring remained marginal and insufficient to prevent a further build-up in backlogs.

Cost pressures intensified, with input price inflation accelerating to a 14-month high. Selling prices also rose at the fastest rate in 14 months as manufacturers passed on part of the higher costs.