Australia's purchasing managers' index (PMI) for its manufacturing sector rose by 2.4 points month on month in December to 50.2 points, according to a survey carried out by Australian Industry Group and PricewaterhouseCoopers. The increase in the index, which is a seasonally adjusted national composite index based on the diffusion indices for production, new orders, deliveries, inventories and employment with varying weights, points to the resilience of domestic industries on the back of efficiencies and productivity improvements made.
Australian basic metal manufacturing showed a strong expansion in December, while a decline in fabricated metals manufacturing was seen in the given month. Meanwhile, production levels and supplier deliveries increased in the month in question.
Australian Industry Group chief executive Heather Ridout commented, "Manufacturing mercifully fell across the line into positive territory in December, on the back of a pick-up in production and new orders. That was a better end to 2011 than might have been anticipated after such a tough year."