The Ai Group Industry Index for Australia’s manufacturing sector remained in contraction at -15.6 in February, with overall conditions still weak. Manufacturing trends were mixed, as soft demand, intensifying costs from regulation, taxes, and energy prices, and cashflow pressure from delays continued to weigh on output, while gradual signs of improvement offered only partial relief. The chemicals index increased to -27.3 as weak demand, rising costs and weather disruptions reduced sales. In contrast, minerals and metals sustained its score at -22.6, supported by isolated areas reporting stronger orders, though weak demand and cost pressures persisted. The machinery and equipment index declined to -24.2 amid regulatory pressures and weak capital spending, despite modest gains for some firms. Food, beverages and TCF eased to -4.6, with promotions and seasonal orders offset by declining retail sales, tariff concerns and cash-flow pressures. source: Australian Industry Group

Industry Index Manufacturing in Australia increased to -15.60 points in February from -19 points in January of 2026. Industry Index Manufacturing in Australia averaged -8.19 points from 2020 until 2026, reaching an all time high of 21.50 points in March of 2021 and a record low of -34.10 points in April of 2020. This page includes a chart with historical data for Australia Ai Group Industry Index - Manufacturing. Australia Ai Group Industry Index - Manufacturing - data, historical chart, forecasts and calendar of releases - was last updated on March of 2026.

Industry Index Manufacturing in Australia increased to -15.60 points in February from -19 points in January of 2026. Industry Index Manufacturing in Australia is expected to be -18.60 points by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the Australia Ai Group Industry Index - Manufacturing is projected to trend around 15.00 points in 2027 and 5.00 points in 2028, according to our econometric models.



Calendar GMT Reference Actual Previous Consensus TEForecast
2026-02-03 10:00 PM
Ai Group Manufacturing Index
Jan -19.4 -18.3 -17
2026-03-03 10:00 PM
Ai Group Manufacturing Index
Feb -15.6 -19.0 -19
2026-03-31 10:00 PM
Ai Group Manufacturing Index
Mar -15.6 -18.6


Related Last Previous Unit Reference
Ai Group Industry Index -1.50 -12.30 points Feb 2026
Ai Group Services Index 1.10 -10.80 points Feb 2026
Ai Group Construction Index -8.20 4.60 points Feb 2026
Ai Group Manufacturing Index -15.60 -19.00 points Feb 2026


Australia Ai Group Industry Index - Manufacturing
The Australian Industry Index is a monthly index that measures changes in activity in Australia’s industrial sectors. It provides diffusion indices which measure rates of changes in the level of industrial activity – expansion, stability or contraction. A positive reading indicates the activity is expanding; negative indicates contraction. The distance from 0 indicates the strength of the expansion or decline.
Actual Previous Highest Lowest Dates Unit Frequency
-15.60 -19.00 21.50 -34.10 2020 - 2026 points Monthly
SA

News Stream
Australia Manufacturing Shows Improvement: Ai Group
The Ai Group Industry Index for Australia’s manufacturing sector remained in contraction at -15.6 in February, with overall conditions still weak. Manufacturing trends were mixed, as soft demand, intensifying costs from regulation, taxes, and energy prices, and cashflow pressure from delays continued to weigh on output, while gradual signs of improvement offered only partial relief. The chemicals index increased to -27.3 as weak demand, rising costs and weather disruptions reduced sales. In contrast, minerals and metals sustained its score at -22.6, supported by isolated areas reporting stronger orders, though weak demand and cost pressures persisted. The machinery and equipment index declined to -24.2 amid regulatory pressures and weak capital spending, despite modest gains for some firms. Food, beverages and TCF eased to -4.6, with promotions and seasonal orders offset by declining retail sales, tariff concerns and cash-flow pressures.
2026-03-03
Australia Manufacturing Sector Deteriorates Further: Ai Group
The Ai Group Industry Index for Australia’s manufacturing sector remained in contraction in December/January, with overall manufacturing conditions still weak. Manufacturing trends were mixed, as subdued demand, tariffs, rising input and wage costs, weak cashflow and labour constraints continued to weigh on output, while limited pockets of improved orders offered only partial relief. The chemicals index fell sharply to -35.3 as seasonal slowdowns, market uncertainty and higher tariffs reduced sales. In contrast, minerals and metals improved to -25.9, supported by cheaper imported inputs and some lift in new orders, though softer holiday demand and export pressures persisted. The machinery and equipment index declined to -22.3 amid lower investment, higher costs, labour shortages and slower holiday orders, despite modest gains for some firms. Food, beverages and TCF eased to -9.4, with stronger festive-season sales offset by rising wage, input, energy and tax costs.
2026-02-03
Australia Manufacturing Contraction Eases: Ai Group
The Ai Group Industry Index for Australia’s manufacturing sector improved to -18.0 in November from -22 in October, but activity remained weak. Manufacturing trends were mixed with soft demand, rising costs and labour shortages weighing on output, while machinery orders and some export demand provided limited relief. The chemicals index rebounded to -19.9 as seasonal factors and stronger export sales helped, though cost and drought pressures persist. Minerals and metals edged down to -37.0 amid higher energy and wage costs and weak customer confidence. The machinery and equipment index improved to -7.9 driven by stronger orders, and food, beverages and TCF fell to -14.1 with rising input costs and weather related supply disruptions.
2025-12-02