Manufacturing output shrank 1.4 per cent in June, as the global slowing of demand for electronics began to take its toll on a widening range of other products.
June's slump into negative territory compared sharply with the growth of 9.4 per cent in May and 11.9 per cent in April, although the first six months of the year are still showing a 10 per cent year on year gain over 1995.
The rapid rolling off in manufacturing performance supports the growing number of downgrades in forecasts for Singapore's economic performance this year.
Some analysts warn the country is facing its weakest growth since 1984.
According to some forecasts, Singapore's gross domestic product, which last year grew 8.8 per cent, and accelerated to 10.7 per cent in the first quarter, could be down to about 6 per cent in the third quarter, having dropped to 8.9 per cent for the first half.
In June, growth in output from electronics manufacturers slumped to 2.2 per cent compared to the same month last year.
In the previous month, output was running at close to 16 per cent, and was at a still robust 19.7 per cent in April.