Australia Industry Index Manufacturing

The Ai Group Industry Index for the Australia's manufacturing sector fell to -29.3, extending its downward trend. Sales were impacted by adverse weather, rising input costs, and trade uncertainty, which weakened buyer confidence and led many manufacturers to offer discounts and flexible payment terms. Upstream indicators were mixed: the chemicals index improved by 12.8 points to -22.4, driven by stronger exports to the UAE and South America, though structural challenges like droughts and high import costs remain. The minerals and metals sector dropped by 23.9 points to -31.2, reversing May’s gains amid weak demand, rising rates, and intense competition. Machinery and equipment edged up 7.1 points to -41.4, as firms faced transport limits, tariff strain, and soft agri-sector demand, though some saw gains from renewable energy and post-election orders. Food, beverages fell by 14.4 points to -23.4, with low tourism, weaker alcohol consumption, and staffing pressures weighing on demand.