BNZ – BusinessNZ
Performance of
Manufacturing
Index

Steady state

11 Dec, 2015
54.7
November
+1.5

Monthly Change

expanding
faster rate

New Zealand’s manufacturing sector remained in a steady state of expansion, according to the latest BNZ – BusinessNZ Performance of Manufacturing Index (PMI).

The seasonally adjusted PMI for November was 54.7 (a PMI reading above 50.0 indicates that manufacturing is generally expanding; below 50.0 that it is declining).  This was 1.5 points higher than October, and very similar to expansion levels experienced in both August and September.  The sector has now been in continued expansion since October 2012.

BusinessNZ’s executive director for manufacturing Catherine Beard said that the November result continued the positive trend for the sector.

“New orders (57.8) was at its highest level since June, as was employment (53.7).  Also, the proportion of positive comments for November (68.6%) was a healthy pick up from both October (61.8%) and September (58.7%).  A number of comments centred on seasonal factors at play, although others mentioned good customer demand, both domestically and offshore.  

BNZ Senior Economist Doug Steel said the positive signals from the PMI continue. It affirms our thinking that the economy has grown a bit faster in the second half of 2015 than it did in the first half.

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

Manufacturing sales surge

Tuesday’s official manufacturing data for the third quarter of 2015 looked reasonably positive. But we don’t think this fully translated into production growth in Q3 given indications of inventory unwind.
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Strong new orders suggest more to come

No one should have been too surprised by the positive signals in the official data noted above. Today’s PMI suggests solid growth has continued into the final quarter of the year.
Read more  

So manufacturers are hiring

The positive sales and orders environment for New Zealand’s manufacturers is spilling over to more employment. The three month average has been trending higher in the second half of the year after a relatively slower first half.
Read more  

What’s driving it?

There is never one factor as the manufacturing sector is too diverse. Consented floor space for both residential and non-residential buildings suggests further expansion lies ahead . Some of this is connected to fresh record highs in net migration and ultra-low interest rates.
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 Nov
2014
Jul
2015
Aug
2015
Sep
2015
Oct
2015
Nov
2015
BNZ – BusinessNZ PMI 54.3 53.7 54.9 54.9 53.2 54.7
Production 55.0 56.0 55.4 57.0 53.2 53.5
Employment 53.4 50.7 53.0 51.3 52.8 53.7
New Orders 54.9 54.9 57.2 57.4 55.8 57.8
Finished Stocks 51.9 51.6 52.3 52.3 49.1 49.9
Deliveries 55.7 53.8 52.9 55.4 52.5 54.4

BNZ – BusinessNZ PMI Time Series

November 2018 – November 2022

International Results

J.P. Morgan Global Manufacturing PMITM

08 Dec 2015
51.2

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.

PMI Releases

Building blocks – PMI

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