BNZ – BusinessNZ
Performance of
Manufacturing
Index

Holding its own

11 Apr, 2025
53.2
March
-0.9

Monthly Change

Expanding
Slower Rate

New Zealand’s manufacturing sector continued to show expansion for a third consecutive month, according to the latest BNZ – BusinessNZ Performance of Manufacturing Index (PMI).

The seasonally adjusted PMI for March was 53.2 (a PMI reading above 50.0 indicates that manufacturing is generally expanding; below 50.0 that it is declining). This was down from 54.1 in February, although still above the average of 52.5 for the survey since the survey began.

BusinessNZ’s Director, Advocacy Catherine Beard said that the March result represented a full quarter of expansion for a sector that has experienced tough times over 2023 and 2024.

“The sub-index values were mostly in expansion during March. The key sub-index result for Production (54.2) was at its highest result since December 2021, although New Orders (49.6) returned to slight contraction. Employment (54.7) continued to lift with expansion levels at its highest since July 2021, while Finished Stocks (56.3) was at its highest since December 2021″.

The proportion of negative comments from respondents stood at 57.5% in March, compared with 59.5% in February and 57.7% in January. Negative comments during March continued to see a number of manufacturers face a tough economic environment, with persistent weak demand, fewer new orders, and ongoing uncertainty across domestic and export markets.

BNZ’s Senior Economist Doug Steel said that “the PMI supports the notion that manufacturing GDP has increased in early 2025. The open question is what lies ahead given recent extreme volatility on global markets following rapidly evolving US-driven trade policy changes. Risks to the global and NZ growth outlook are downward”.

Production
54.2
Employment
54.7
New Orders
49.6
Finished Stocks
56.3
Deliveries
55.7
50.0
62.8
59.6
38.2
Catherine Beard

Catherine Beard

Director, Advocacy BusinessNZ

BNZ - BusinessNZ PMI

Time Series Data

View seasonally adjusted and unadjusted time series data for the BNZ - BusinessNZ PMI

Manufacturing Snapshot

Holding above 50

The Performance of Manufacturing Index (PMI), at 53.2 in March, has now been above the breakeven 50 mark for three consecutive months.

Read more

New orders the laggard

Historically, manufacturing sector output has been closely tied to the state of the broader economy. Across the economy, higher business confidence has been largely due to expectations of stronger future demand, rather than current conditions.

Read more

Inventories building

At times last year, our commentary on the PMI noted a destocking trend. This suggested more scope for manufacturing production to pick up upon an eventual turn in demand.

Read more

QSBO reality check

The PMI employment index edged up to 54.7, its highest level since July 2021. This level, well above 50, is consistent with a rapidly expanding workforce.

Read more

Doug Steel

Doug Steel

Senior Economist, BNZ

Sponsor Statement

BNZ is delighted to be associated with the Performance of Manufacturing Index (PMI) and BusinessNZ.

This association brings together the significant experience of leading business advocacy body BusinessNZ, and business finance specialist BNZ.

We look forward to continuing our association with BusinessNZ and associated regional organisations, and to playing our part in the ongoing development of the New Zealand manufacturing sector.

PMI Time Series Table

The results are seasonally adjusted.

National Indicies Mar 2024 Nov 2024 Dec 2024 Jan 2025 Feb 2025 Mar 2025
BNZ – BusinessNZ PMI 46.2 45.5 46.4 51.8 54.1 53.2
Production 46.0 42.8 43.0 51.7 52.8 54.2
Employment 46.2 47.1 48.0 50.9 54.3 54.7
New Orders 45.1 44.8 47.0 51.3 51.5 49.6
Finished Stocks 48.5 49.9 46.7 52.6 54.5 56.3
Deliveries 46.6 50.3 50.3 52.2 56.3 55.7

BNZ – BusinessNZ PMI Time Series

January 2020 – March 2025

International Results

J.P. Morgan Global Manufacturing PMITM

01 Apr 2025
50.3
USA
50.2
UK
44.9
Eurozone
48.6
China
51.2
Japan
48.4
Australia
52.1
NZ
53.2

About the PMI

The BNZ – BusinessNZ Performance of Manufacturing Index is a monthly survey of the manufacturing sector providing an early indicator of activity levels.

A PMI reading above 50 points indicates manufacturing activity is expanding; below 50 indicates it is contracting.

The main PMI and sub-index results are seasonally adjusted.

Technical Contact

Stephen Summers
Economist, BusinessNZ

[email protected]

PMI Releases

Lift off

New Zealand’s manufacturing sector displayed its highest value for expansion since August 2022, according to the latest BNZ – BusinessNZ Performance of Manufacturing Index (PMI). The seasonally adjusted PMI for February was 53.9 (a PMI reading above 50.0 indicates...

Expansion

New Zealand’s manufacturing sector displayed expansion for the first time in 23 months, according to the latest BNZ – BusinessNZ Performance of Manufacturing Index (PMI). The seasonally adjusted PMI for January was 51.4 (a PMI reading above 50.0 indicates that...

December doldrums

New Zealand’s manufacturing sector remained in contraction for the last month of 2024, according to the latest BNZ – BusinessNZ Performance of Manufacturing Index (PMI). The seasonally adjusted PMI for December was 45.9 (a PMI reading above 50.0 indicates that...

Retreat

New Zealand’s manufacturing sector continued to show contraction at a faster rate during November, according to the latest BNZ – BusinessNZ Performance of Manufacturing Index (PMI). The seasonally adjusted PMI for November was 45.5 (a PMI reading above 50.0 indicates...

Lost momentum

New Zealand’s manufacturing sector showed contraction at a faster rate during October, according to the latest BNZ – BusinessNZ Performance of Manufacturing Index (PMI). The seasonally adjusted PMI for October was 45.8 (a PMI reading above 50.0 indicates that...

Our Contributors

The BNZ – BusinessNZ PMI contains data obtained through BusinessNZ’s regional organisations