November 2, 2020
Australia's manufacturing industries grew solidly in October with production, employment, sales and exports all moving convincingly into growth territory. Once again, the large food & beverages sector led the way with strong contributions from machinery & equipment manufacturers and with support from firmer growth in the textiles, clothing, footwear, paper & printing group. The chemicals sector stabilised in October while the pace of contraction eased in both the metal products and building materials sectors. Respondents across all sectors noted a jump in sales and new orders as a result of pent up demand from the initial activity restrictions. The jump into expansion was driven by large improvements in New South Wales, which rose into expansion, and Victoria, which remained in contraction but improved from a deep contraction in September . “With the quantity of fiscal support easing in October and with the tax cuts only just starting to flow…