01.12.202500:21:57UTC+00Australia Manufacturing Sector Returns to Growth

The S&P Global Australia Manufacturing PMI climbed to 51.6 in November 2025, up from 49.7 in October, signaling the sector's return to expansion. This marks the highest level since August, driven by renewed growth in both new orders and production. These gains were achieved despite a third consecutive monthly drop in new export orders, reflecting challenging international trade conditions. Forward-looking indicators suggest increased optimism regarding future output, fueled by planned expansions and expectations of improved economic conditions likely to drive sales. In anticipation, manufacturers boosted their workforce, contributing to a reduction in backlogs for the seventh consecutive month. Purchasing activities also saw an uptick. However, input inventories fell at the sharpest rate in nearly a year due to supply chain delays. Companies pointed to issues such as shortages, shipping constraints, and turnover at ports as reasons for the most significant extension in lead times since last December. Lastly, a slowdown in input price inflation resulted in the slowest increase in selling prices over the past year.