FX.co ★ Australia Manufacturing Growth Confirmed at 6-Month High

The S&P Global Flash Australia Manufacturing PMI was confirmed at 52.0 in August 2026, unchanged from the preliminary estimate, in line with July’s reading and holding at its highest level since January. A reading above 50 signals expansion, indicating a further, albeit modest, improvement in overall sector health.

The latest result was underpinned by the fastest growth in new orders since January, supported by a renewed rise in export demand. Employment increased for a fourth consecutive month. This allowed firms to work through their order pipelines, leading to a marked decline in backlogs, the steepest in just over a year.

However, output edged lower, reversing the slight increase recorded in July, as overall demand remained subdued.

On the price front, input cost inflation picked up slightly, driven by higher freight and fuel expenses, while output price inflation eased for the third consecutive month to its slowest pace in seven months. Suppliers’ delivery times lengthened, reflecting delays in international shipping. Finally, business confidence strengthened.