FX.co ★ New Zealand's Business NZ PMI Drops Sharply to 41.1 in June 2024

New Zealand's Business NZ Performance of Manufacturing Index (PMI) saw a significant decline in June 2024, plummeting to 41.1. This sharp reduction follows May's PMI of 47.2, indicating a notable contraction in the manufacturing sector. The data, released on 11 July 2024, underscores growing concerns about the health of New Zealand's economy.

The PMI, a key indicator of manufacturing activity, suggests that the industry has experienced a substantial reduction in production, new orders, and employment levels. This downturn may reflect broader economic challenges, including supply chain disruptions, declining demand, and increasing costs.

As New Zealand navigates these economic headwinds, stakeholders in the manufacturing sector will be closely monitoring future PMI data. Policymakers and industry leaders may need to consider strategic measures to stabilize and stimulate the industry to prevent further declines.