BNZ – BusinessNZ
Performance of
Manufacturing
Index

Meandering March – PMI

12 Apr, 2019
51.9
March
-1.5

Monthly Change

expanding
slower rate

New Zealand’s manufacturing sector experienced decreased levels of expansion for March, according to the latest BNZ – BusinessNZ Performance of Manufacturing Index (PMI).

The seasonally adjusted PMI for March was 51.9 (a PMI reading above 50.0 indicates that manufacturing is generally expanding; below 50.0 that it is declining). This was 1.5 points down from February, and the lowest level of activity since July 2018.

BusinessNZ’s executive director for manufacturing Catherine Beard said that the slow level of expansion for March meant the first quarter of 2019 averaged out at 52.7, which was below the long run average of 53.4 for the survey.

Looking at the main sub-index values, both production (51.4) and new orders (52.5) both dropped from February.  However, employment (51.9) did pick up slightly – the only sub-index to improve from February.

Despite the dip in expansion levels, the proportion of positive comments for March (52.6%) was up on both February (51.6%) and January (47.7%).  Both positive and negative comments did not identify a clear major influence, which generally summed up the low but steady level of activity for the sector.

BNZ Senior Economist, Craig Ebert said that “slow as it might appear, New Zealand’s PMI of 51.9 in March was certainly doing well in a global context. Of all the deceleration that has occurred in the world economy over the last 6-12 months, manufacturing has been at the forefront”.

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

The PMI

Depending on your perspective, NZ’s Performance of Manufacturing Index (PMI) was either doing it tough in March or toughing it out relatively well.
Read more

QSBO

That New Zealand’s manufacturing industry was toughing it out, was also the memo from the latest NZIER Quarterly Survey of Business Opinion (QSBO). Sure, it found manufacturers decidedly downbeat about the general economic outlook. However, when it came to own-activity, the QSBO showed manufacturing more mixed than it was negative.
Read more

Capacity/Pricing

QSBO indicators on manufacturing capacity and inflation were also mixed. For the NZIER measure of capacity utilisation, CUBO, it came off the boil a bit further in Q1 – although at 90.9% was still above average.
Read more

Global

Slow as it might appear, New Zealand’s PMI of 51.9 in March was certainly doing well in a global context. Of all the deceleration that has occurred in the world economy over the last 6-12 months, manufacturing has been at the forefront.
Read more

Craig Ebert

Craig Ebert

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
2018
Nov
2018
Dec
2018
Jan
2019
Feb
2019
Mar
2019
BNZ – BusinessNZ PMI 53.7 53.4 54.7 52.9 53.4 51.9
Production 53.1 51.6 54.7 50.9 53.6 51.4
Employment 52.7 51.2 52.1 52.0 50.8 51.9
New Orders 54.9 56.0 55.2 52.0 54.4 52.5
Finished Stocks 54.6 54.6 59.4 54.5 55.0 53.1
Deliveries 54.9 53.3 58.6 53.8 54.9 52.3

BNZ – BusinessNZ PMI Time Series

March 2018 – March 2022

International Results

J.P. Morgan Global Manufacturing PMITM

01 Apr 2019
50.6

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.

PMI Releases

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New Zealand's manufacturing sector saw another lift in expansion for August, according to the latest BNZ - BusinessNZ Performance of Manufacturing Index (PMI). The seasonally adjusted PMI for August was 54.9 (a PMI reading above 50.0 indicates that manufacturing is...

On the margins – PMI

New Zealand's manufacturing sector rose back into expansion for July, according to the latest BNZ - BusinessNZ Performance of Manufacturing Index (PMI).The seasonally adjusted PMI for July was 52.7 (a PMI reading above 50.0 indicates that manufacturing is generally...

Mid year blues – PMI

New Zealand’s manufacturing sector fell back into contraction for the first time since the most recent national lock-down in August 2021, according to the latest BNZ – BusinessNZ Performance of Manufacturing Index (PMI).

Soldering on – PMI

New Zealand’s manufacturing sector remained under its long-term average level of activity for May, according to the latest BNZ – BusinessNZ Performance of Manufacturing Index (PMI).

Slow grind – PMI

New Zealand’s manufacturing sector experienced a lower level of expansion during April, according to the latest BNZ – BusinessNZ Performance of Manufacturing Index (PMI).

Our Contributors

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