New Zealand manufacturing expanded again in June, the 21st consecutive month of growth for the sector, according to the latest figures.
BusinessNZ’s Performance of Manufacturing Index (PMI) for June was 53.3. This represented a 0.7 point increase when compared to the figure for May.
PMI results above 50 correlate with expansion in the sector, while figure under 50 indicate contraction.
“Overall production levels remain healthy, and have been very consistent for the last three months. Employment levels continue to show more people entering the sector, while the largest proportion of comments received are still positive,” BusinessNZ’s executive director for manufacturing Catherine Beard said of the result.
“As mentioned last month, the fundamentals of both the PMI and other indicators of the economy still point to positive activity. However, the continued strength of the New Zealand dollar, as well as new order levels continuing to fall, mean there are elements of the sector that need to be watched closely in the months ahead.”
In addition, Production (55.9) was 0.8 points higher than May and Deliveries (55.1) rose 3.6 points. However, New orders (50.9) fell by 0.4 points; Employment (52.9) was down 0.6 points; and Finished stocks (49.7) fell 2.6 points.