Manufacturing Sector Posts Strongest Growth in Five Years

New Zealand's manufacturing sector has achieved its strongest growth in nearly five years. The latest data reveals activity has surged to its highest level since July 2021.

The BNZ - BusinessNZ Performance of Manufacturing Index (PMI) rose to 59.7 in June, a sharp increase from 51.3 in May. A figure above 50 indicates sector expansion, and this reading is well above the long-term average of 52.5.

Order books are filling up, with New Orders leading the way at 64.1. Production also saw a significant rise to 59.4, while Employment reached 55.8, signalling a positive outlook for manufacturing jobs.

Minister for Small Business and Manufacturing Cameron Brewer described the results as very strong. He noted that every part of the index is firmly in expansion.

The manufacturing sector employs over 220,000 people, contributes about eight per cent to GDP, and accounts for 60 per cent of New Zealand's exports. BNZ Head of Research Stephen Toplis expressed surprise at the extent of the Index's jump.

Originally reported by Beehive.govt.nz - The official website of the New Zealand Government.