Ai Group Australian Industry Index - September 2024

Key findings

• The Australian Industry Index® improved slightly in September but continued to point towards challenging business conditions.
• Indicators for activity/sales, inputs, new orders and employment all improved slightly, but remain in negative territory.
• The sales price indicator fell to neutral, continuing a downward trend over the last six months. With input prices and wages remaining elevated, this points to growing margin pressure.
• Chemicals, machinery and business services reported slight declines, slower demand and persistent cost pressures.
• Construction recovered slightly but continues to report weakness due to slower inquiry conversions and permit challenges.

The Ai Group Australian Industry Index® eased slightly in September 2024, lifting 4.9 points to -18.6 points (seasonally adjusted). The index has indicated contraction for the last twenty-nine months.