Australia Industry Index

The Ai Group Australian Industry Index continued its contraction in June 2024, rising by 14.7 points to -25.6 points (seasonally adjusted). The index has shown contraction for the past twenty-six months. Indicators for activity/sales, new orders, and employment all rebounded from a very weak May but remained in negative territory. Input prices and wages both saw significant increases in June, indicating ongoing cost and inflation pressures in the industry. Food manufacturing was the only subindustry to report expansion, while contractions in construction and chemicals eased. Capacity utilisation increased slightly to 76.5%, reflecting ongoing supply-side pressures, particularly for labor.