Australian manufacturing continued to grow in the month of August, according to the Performance of Manufacturing Index by the Australian Industry Group. Rising exports were at the heart of the result.
53.1 – The Result is Strong
The result of 53.1 (50 being equilibrium) represents a 1.8 point increase from July. In a report overview, the defence and mining sectors were also individually highlighted as having had a positive influence on the overall figure.
- Food and beverage – 55.8 (down 1.7)
- Machinery and equipment – 52.5 (up 1.6)
- Metal products – 37.9 (down 0.3)
- Chemicals – 52.6 (down 0.8)
- Building materials, wood, furniture, other – 59.6 (down 0.5)
- TCF, paper and printing – 41.7 (down 0.6)
Machinery and equipment was the standout performer for the month. Analysis has placed the softening Australian dollar as a player in helping with orders, with the outlook set to continue. This is also assisting the mining sector overall, which contrasts with the outlook for the metals and metal products sector, which is still suffering from a continued downturn.
Paper and printing also continues to fluctuate on a monthly basis, as seasonal factors play their part.
The full report can be accessed here…