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    Australia'S Manufacturing Expansion Slowed In March, Weakness In Demand For Shoes And Clothing

    2010/4/2 11:22:00 25

    Australian Footwear Is Weak.

    Australian Industrial Group and PWC Australia 1 reported that the manufacturing activity index in March dropped by 3.6 to 50.2, due to strong Australian dollar, rising interest rates and weak demand.



    Comprehensive external power April 1st reported that Australian Industry Group (AIG) and PWC Australia (Pricewaterhouse Australian) 1 released data show that Australia's manufacturing expansion in March slowed down, due to strong exchange rate, interest rates rose, and weak demand and reduced production drag.



    The weakness of the Australian manufacturing performance index will warn policymakers, although the country is stepping into the initial recovery phase driven by the mining industry, but some of the economic components are still not achieving sustainable growth.



    Australia's manufacturing performance index fell 3.6 to 50.2 in March, but it was still higher than the 50 benchmark level for the industry's expansion and recession, the agency announced.



    Production declines, employment and inventory factors also have an impact on the index and are also affected by falling prices and new orders.



    Factory director pointed out that clothing and footwear demand is very weak.

    According to official figures released in March 31st, retail sales in Australia fell by 1.4% in February, suggesting potential demand was not as strong as expected.



     

    AIG CEO



    Other commentaries are launching the topic related information and information forum. Please input the verification code Heather Ridout. "In March, the Australian manufacturing index provided obvious evidence for the dual speed economy. In addition, the Australian government will solve the problem in the May annual budget report."



    "This index highlights the importance of providing sustainable budgetary funds for building competitiveness and dealing with complex problems in the future business environment," it said.



    Complex signals in the economy, such as weakness in housing loans and retail sales, as well as relatively strong job market and core inflation, mean that next week's (April 5th week) Reserve Bank of Australia conference is not expected to raise interest rates.

    The Australian Central Bank meeting in March raised the benchmark interest rate by 25 basis points to 4%.


    Source: financial information

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