Manufacturing sector growth down for third month
New Zealand has seen a slump in manufacturing growth for a third month, according to the latest BNZ - BusinessNZ Performance of Manufacturing Index.
New Zealand has seen a slump in manufacturing growth for a third month, according to the latest BNZ - BusinessNZ Performance of Manufacturing Index.
The BusinessNZ PMI results for August show a minor slip of 0.3 points to 52.9 since July, surfacing just over the expansion standard that climbs over 50, with almost all results since November 2010 floating around an average level between 52.7 and 54.7.
“Over the last four months we’ve experienced the steadiest period of activity since the survey began in 2002,” said Catherine Beard, BusinessNZ’s executive director for manufacturing.
Deliveries was the fastest growing of all sectors last month at 55.8, followed by new orders at 54.3, production at 53.7, and finished stocks at 52.3. Employment however has fallen down to 49.2, being the only sub-index to fall below 50.
BNZ economist Doug Steel said that it is crucial to look at the entire collection of information when assessing economic performance.
“August’s PMI continues a remarkably steady run over recent months, but masks considerable and widening variation in the detail. While this variation reflects the many factors pushing and pulling the economy, it is encouraging to see the overall trend remain positive,” said Mr Steel.
The petroleum, coal, chemical & associated products sector had its third consecutive fall in activity with a total of 38.2, the lowest result since May 2009. The metal product manufacturing sub-industry however has reached its highest result of 59.6 since November 2010.
Otago/Southland’s region grew the fastest with 61.8, leading all regions with its first expansionary result since January 2010, followed by the Canterbury/Westland region rising to 57.2, the Northern region slipping marginally to 51.5, and the Central region falling to almost no change with 49.9.
NBR staff
Thu, 15 Sep 2011
Thu, 15 Sep 2011
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Manufacturing sector growth down for third month
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