none

MANUFACTURING ACTIVITY ON THE RISE

01-09-2015
by 
in 

The Australian manufacturing sector expanded for a second straight month in August, driven by increased production, employment and new orders.

The Australian Industry Group Australian Performance of Manufacturing Index (Australian PMI) increased by 1.3 points to 51.7 (readings above 50 indicate expansion).

“A second month of expansion is encouraging for Australian manufacturing, said Ai Group Chief Executive, Innes Willox. “It is also positive for the economy overall which requires a broader base of growth as the mining investment boom continues to unwind.”

Four of the seven activity sub-indexes expanded in August: new orders (up 3.0 points to 52.9) and manufacturing employment (up 3.7 points to 51.3). Both returned to positive territory after two months in contraction.

Production expanded for a second month, if at a slower pace (down 3.0 points to 51.2); and supplier deliveries expanded for a second month (up 2.4 points to 53.0).

Stock levels, however, fell for a seventh consecutive month (up 0.5 points to 48.4) and manufacturing sales returned to contraction (down 5.3 points to 48.6) after a brief expansion in July.

The three-month expansion in exports (down 7.1 points to 44.8) also came to an end.

Three of the eight manufacturing sub-sectors expanded, led by food, beverages & tobacco (down 4.7 points to 54.2) for a 15th month.

The relatively small wood & paper products sub-sector (up 1.8 points to 70) expanded for a sixth month, while textiles, clothing, footwear, furniture & other manufacturing (up 6.0 points to 55.2) returned to expansion after contracting in July.

“Manufacturers are hoping that these positive directions are built upon in coming months and are sufficiently strong to overcome continued headwinds from the reduced orders for materials and equipment from the mining sector and automobile producers,” Mr Willox said.

Related news & editorials

  1. 24.05.2019
    24.05.2019
    by      In
    Monash University’s Institute of Railway Technology (IRT) has signed a memorandum of understanding with the International Union of Railways (UIC), the worldwide professional association representing the railway sector and promoting rail transport.
    The memorandum was signed in Manila during the 2019... Read More
  2. 24.05.2019
    24.05.2019
    by      In
    New challenges are emerging as the global aerospace industry grows, and it often seems that production delays, manufacturing and materials shortages and counterfeit parts are keeping pace with advancements. Boker’s knows that aerospace original equipment manufacturers and their supply chains demand... Read More
  3. 24.05.2019
    24.05.2019
    by      In
    IPD has become the exclusive Australian distributor for AuCom Electronics, a Christchurch-based manufacturer of soft start technology and fixed speed motor control solutions. AuCom provides low to medium voltage starter solutions to suit almost any requirement in a variety of industry applications... Read More
  4. 23.05.2019
    23.05.2019
    by      In
    As a teenager, Gary Rush dreamed of driving in New Zealand’s Formula Atlantic open-wheel racing cars. Now, a generation later, he has realised his dream, driving in and winning the top single-seater award of the Matos Formula Libre Series.
    Rush won the Ultimate Echo Cup for finishing top of a field... Read More