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The manufacturing sector in New Zealand fell into contraction ion December, the latest survey from BuzinessNZ showed on Friday with a PMI score of 49.3.
That's down from the downwardly revised 51.2 reading in November (originally 51.4) and it slips beneath the boom-or-bust line of 50 that separates expansion from contraction.
This was a second consecutive decrease in activity, and the lowest result since September.
Among the individual components, production and employment continued to contract, while new orders and deliveries remained in expansion but at a slower pace. Only finished stocks picked up steam.
"The December result was disappointing," BNZ Senior Economist, Craig Ebert said. "After a couple of months flirting with positivity, the PMI dipped back just below the breakeven line again."
