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Manufacturing weakened in April

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Difficulties in the manufacturing sector continued last month, with the Australian Industry Group PMI slipping 3.1 points to 44.8.

The seasonally-adjusted, survey-based measure of sentiment is released every month. A result above 50 indicates growth, and below it contraction.

The Ai Group called the result for April a “sharp fall”, and the PMI has remained in negative territory all year.

Ai Group CEO Innes Willox said that there was an “ongoing weakness” in the industry and sectors of the economy linked with it.

“The immediate outlook for the sector worsened with respondents to the Australian PMI® survey citing a lack of new orders even after allowing for the usual run of seasonal holidays in April,” he said in a statement.

The new orders sub-index was down 10.5 points to 41.8, with production (down 6.6 points) and employment (down 1.4 points) also in decline for the month.

Export continued to be a difficulty for the country’s manufacturers, with resurgent dollar one reason behind this.

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