The BusinessNZ Performance of Manufacturing Index for New Zealand rose to 54.7 in June, up from a revised 51.3 in May, marking a fifth consecutive month of expansion and sitting comfortably above the long-term average of 52.5. This was the strongest pace of growth in factory activity since July 2021.
New orders were the standout component, jumping to 64.1 from 53.2 in May and signalling a solid pipeline of future work. Production also strengthened sharply, rising to 59.4 from 50.6, while deliveries increased to 57.3 from 52.9. Stocks of finished products climbed to 56.9 from 54.3, and employment improved to 55.8 from 51.4, both well above the 50.0 expansion threshold and indicating encouraging momentum in manufacturing hiring.
“There are still real headwinds, with the conflict in the Middle East and high fuel prices continuing to affect many respondents, but this month’s result reflects a huge positive shift after a long stretch of soft results, which is a very welcome turn,” said BusinessNZ’s Director of Advocacy, Catherine Beard.