Australia Factory Activity Seen Expanding for 4th Month

2026-02-19 22:15 By Felipe Alarcon 1 min. read

The S&P Global Australia Manufacturing PMI fell to 51.5 in February 2026 from 52.3 in January, according to flash estimates, signaling continued expansion but at a slower pace.

The moderation reflected softer growth in new orders and output, as overall new business cooled from January’s 45-month high and export demand increased only marginally.

Manufacturers noted a loss of momentum alongside broader private sector slowing.

Optimism about output over the next year remained positive, supported by expansion plans and expectations of improved demand, though confidence eased to its lowest level in just over a year-and-a-half amid concerns about economic conditions and elevated competition.

Firms continued hiring, but manufacturing employment growth was the weakest in four months and backlogs were unchanged.

Input costs rose at the fastest pace in ten months on higher supplier and raw material prices, while selling price inflation accelerated to its highest since September last year.



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Australia Factory Activity Seen Expanding for 4th Month
The S&P Global Australia Manufacturing PMI fell to 51.5 in February 2026 from 52.3 in January, according to flash estimates, signaling continued expansion but at a slower pace. The moderation reflected softer growth in new orders and output, as overall new business cooled from January’s 45-month high and export demand increased only marginally. Manufacturers noted a loss of momentum alongside broader private sector slowing. Optimism about output over the next year remained positive, supported by expansion plans and expectations of improved demand, though confidence eased to its lowest level in just over a year-and-a-half amid concerns about economic conditions and elevated competition. Firms continued hiring, but manufacturing employment growth was the weakest in four months and backlogs were unchanged. Input costs rose at the fastest pace in ten months on higher supplier and raw material prices, while selling price inflation accelerated to its highest since September last year.
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