The Australian Industry Group Australian Performance of Manufacturing Index (Australian PMI®) fell by 6.4 points to 48.4 points (seasonally adjusted), indicating weaker conditions over the summer holiday period (December 2021 and January 2022*) compared to November 2021. Results below 50 points indicate contraction, with lower results indicating a faster rate of contraction.
Six of the seven the activity indexes in the Australian PMI® fell in December and January. Production, new orders, sales and stocks remained mildly positive following stronger results in November. Manufacturing businesses reported lower demand over the (normally quiet) summer holiday period. Three of the six manufacturing sectors included in the Australian PMI® reported positive conditions (results over 50 points, seasonally adjusted) during December 2021 and January 2022, with the strongest results from manufacturers in the building materials and machinery & equipment sectors. The very large food & beverage sector fell into contraction after a temporary rebound in November.