Asia’s manufacturing sector experienced a significant resurgence in November 2024, with procurement activity reaching its highest growth rate in three and a half years, according to S&P Global. The GEP Global Supply Chain Volatility Index highlighted that China and India spearheaded this rebound, as manufacturers increased production to meet heightened demand spurred by domestic stimulus efforts and rising export orders.

China’s manufacturing activity was primarily concentrated on automotive and technology products, while India recorded the region's largest surge in raw material purchases. This uptick underscores the robust economic activity in both countries and their pivotal roles in driving the regional supply chain's recovery.

Reflecting this momentum, Asia's supply chain capacity index rose to 0.15, signaling stretched capacity for the first time since mid-2024. This indicates heightened operational demand across the region, with manufacturers actively stockpiling and preparing for potential shifts in trade policies, particularly tariffs, under the Trump administration.

S&P Global attributes the manufacturing boom to a combination of surging orders and strategic adjustments by businesses. These proactive measures underscore the agility of Asia's manufacturers in navigating dynamic global trade conditions and positioning themselves for sustained growth.