Manufacturers in countries ranging from Japan to Taiwan and Malaysia halted their output last month.

Factory activity in Asia slowed in May as China’s tough coronavirus restrictions continued to disrupt chains and weaken demand, exacerbating problems for some of the region’s economies already strained by rising raw material costs.

Manufacturers in countries ranging from Japan to Taiwan and Malaysia curtailed activity last month, according to business surveys released on Wednesday, highlighting the difficulty authorities have in combating inflation with tighter monetary policy without harming development.