Manufacturing surge continues, growth hits highest rate since 2018

Manufacturing continued to grow at a rapid rate in May, with the Australian Industry Group’s Performance of Manufacturing Index recording its eighth consecutive expansionary result.

The PMI was up 0.1 points from April to 61.8, the strongest rate of expansion since March 2018.

A result of 50 in the survey indicates no change, above this expansion, and below this contraction.

All of seven activity indices except exports recorded results above 50. Each of the six tracked sub-sectors grew, four of them at record rates. 

Input prices continued to be a headwind for the industry, with this index at its highest level since June 2018.

“Supply chain disruptions were widespread for manufacturers in May with respondents continuing to report delivery delays for imported and Australian-sourced materials, inputs and components,” said the Ai Group.

Picture: amtil.com.au

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