Factory activity improves in July

Manufacturing activity has continued to expand, with the Australian Industry Group's performance of manufacturing index increasing 1.0 point to 56.0 points.

Australian manufacturing has continued to expand for a tenth consecutive month, with six of the seven activity sub-indexes improving in July.

The Australian Industry Group's performance of manufacturing index (PMI) increased 1.0 point to 56.0 in the month, remaining above the 50-point level indicating an expansion in activity.

Growth in production, sales, exports and employment is helping mitigate, for the time being, the growing threats from energy price rises and a higher Aussie dollar, Ai Group chief executive Innes Willox says.