FX.co ★ Australian Industry Activity Declines: Ai Group

In November, the Ai Group Australian Industry Index experienced a decline of 0.6 points, reaching -12.5 in seasonally adjusted terms. Despite ongoing recovery through 2025, economic activities remain varied. Domestic demand and certain export demands stayed restrained. Issues such as customer uncertainty, project delays, adverse weather conditions, and increased offshoring countered some gains in the economy's sectors. The employment index also fell by 5.9 points to -5.9, undermining October's improvements. Companies generally opted not to fill vacancies left by departing employees, and widespread skill shortages hindered productivity, with some businesses postponing new hires. Both new orders and input volumes further declined in November, with trend data indicating a stagnation of new order recovery since June. Respondents attributed this to inconsistent demand, fewer inquiries, project delays, and increased offshoring. Additionally, cost pressures appear to be resurfacing; the input price indicator increased by 6.3 points, while sales prices and wages remained relatively stable, as more businesses attempted to pass on the higher input costs.