The manufacturing sector in New Zealand bounced back into expansion territory in September, the latest survey from BusinessNZ showed on Friday with a seasonally adjusted Performance of Manufacturing Index score of 51.4.
That’s up from 40.1 in August and it moves back above the boom-or-bust line of 50 that separates expansion from contraction.
Among the individual components, employment (54.5), new orders (54.3) and finished stocks (50.1) were in expansion, while deliveries (47.8) and production (49.9) remained in contraction.
“The rebound the PMI experienced in September was encouraging, although the survey is not without some still-frayed parts,” said BNZ Senior Economist Craig Ebert. “Credit where it’s due though, as the NZ PMI traced much less of a contraction, and quicker stabilization, compared to what it went through during the initial outbreak of COVID-19.”