Refineries and printing to decline sharply this year

Though Australian manufacturing is currently in a period of expansion, two segments of the industry are predicted to continue their decline.

According to research from IBISWorld, the petroleum refining and petroleum fuel manufacturing industry is suffering under competition from south-east Asian refineries.

IBISWorld predicts revenue will drop by 16.7 per cent from the previous year to $19.1 billion in 2015/16.

“These operations typically have higher output and lower costs than Australian refineries [and] these advanced refineries are also able to meet Australian fuel standards and this trend has made the Australian industry more vulnerable to import competition,” the research firm’s Spencer Little told Yahoo7 Finance of what local refineries were up against.

Printing will decline by 3.8 per cent to achieve revenues of $6.9 billion. The increased use of online platforms for publishing material – especially advertising material – is a large part of the industry’s decline.