Australia Industry Index

The Ai Group Australian Industry Index decreased by 3.1 points to -22.2 seasonally adjusted in March, continuing a trend of contraction for the thirty-third consecutive month. Industrial markets are being affected by uncertainty factors, including US trade policies, forex volatility, and the Australian federal election. Although cost pressures have eased, the sales price indicator has dropped to neutral, signaling ongoing strain on industrial margins. Demand remains weak, with both new orders and activity indicators impacted by these uncertainties. The activity/sales indicator further contracted in March, falling by 7.7 points to -31.5, suggesting a continued decline in industrial activity through the first quarter of 2025. Employment conditions showed some improvement, with a rise of 5.8 points to -7.3, indicating a modest recovery since late 2024.