Australian manufacturing clocks up 13th straight month of growth

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Australia’s manufacturing sector has grown for the 13th straight month, the best streak since 2014, strengthening to 56.4 in the Australian Industry Group Performance of Manufacturing Index results.

The overall PMI was up 4.6 points in July. Any result over 50 indicates expansion.

Six of eight sub-sectors saw results above 50, with only Machinery & Equipment (48.3) and Textiles & Clothing (48.1) in contraction.

Six of seven sub-indexes were in growth territory, with the Australian dollar a “key driver” in lifting production, sales, exports and employment, said Ai Group chief executive Innes Willox.

“The strong lift in new orders augers well for the sector’s immediate outlook and for a continuation of the role manufacturing is playing in the rebalancing of the broader economy,” he said in a statement.

“However, the expansion over the past year has been only a partial recovery from the very serious slump in the years following the global financial crisis.”