New Zealand’s BNZ Manufacturing PMI increased to 53.0 in April 2019 from an upwardly revised 52.0 in the previous month, but below market expectations of 54.5. Four of the five subindices lost steam in April still remaining in expansion territory, while only deliveries subindice improved (56.3 from 52.7 in March). New orders fell to 52.4 from 52.7 and production edged down to 50.8 from 50.9. Also, employment dropped to 51.6 from 52.0 and finished stocks declined to 51.9 from 52.7. “The headline PMI looks reasonable but some of the details have cooled off including new orders. It raises questions for those looking for a strong growth pickup later in 2019,” said BNZ Senior Economist, Doug Steel. Manufacturing PMI in New Zealand averaged 53.40 from 2002 until 2019, reaching an all time high of 62.80 in June of 2004 and a record low of 36.10 in November of 2008.
Manufacturing PMI in New Zealand is expected to be 52.60 by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Manufacturing PMI in New Zealand to stand at 53.50 in 12 months time. In the long-term, the New Zealand Manufacturing PMI is projected to trend around 54.00 in 2020, according to our econometric models.