Manufacturing activity in New Zealand declined in May, ending a seven-month period of growth as companies continue to face challenges from reduced demand and global economic uncertainties.
The seasonally adjusted Performance of Manufacturing Index from Bank of New Zealand-Business NZ dropped to 49.9 in May, down from 50.4 the previous month and 52.8 in March.
When the index falls below 50, it signals that manufacturing activity is shrinking, while readings above that mark indicate growth.
“Manufacturers are obviously struggling in the face of a combination of adverse influences, including lack of customer demand, high fuel prices and the conflict in the Middle East,” BusinessNZ Director of Advocacy Catherine Beard said in a statement.
