Australia Factory Activity Set for 2-Month Streak Expansion

2025-12-15 22:16 By Felipe Alarcon 1 min. read

The S&P Global Australia Manufacturing PMI rose to 52.2 in December 2025 from 51.6 in November, according to flash estimates, signaling a 2nd month of expansion if confirmed.

The improvement was driven by renewed growth in new orders and output, although momentum eased from November.

A fresh rise in new export orders for goods helped offset softer services exports, supporting overall demand.

Looking ahead, optimism about output over the next year strengthened, underpinned by expansion plans and expectations of improved economic conditions that could lift sales.

In response, manufacturers increased hiring, while outstanding backlogs were run down for an 8th month, reflecting declines in services even as manufacturing backlogs rose for the first time in 8 months.

Purchasing activity picked up and suppliers’ delivery times lengthened to the greatest extent in 14 months.

Meanwhile, input cost pressures intensified, feeding through to higher selling prices, which climbed to a 3-month high.



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