From February issue of NZ Manufacturer magazine

By Hon Chris Penk, Minister for Small Business and Manufacturing

As I kick off my first manufacturing column of 2026, I want to pass on my best wishes to manufacturers across the country as you return from a well earned summer break.

I know many of you will already be back into the swing of things, but I hope the warmer weather is still bringing some enjoyment outside of busy working hours.

I am genuinely delighted to see large parts of our manufacturing sector entering the new year with real momentum, supported by the strongest activity levels recorded since 2021.

The latest BNZ BusinessNZ Performance of Manufacturing Index shows December 2025 activity rising 4.4 points from the previous month to 56.1.

This is a very encouraging signal. New Zealand’s PMI has now shown expansion for six consecutive months and in December it outperformed manufacturing activity in the United States, China, Japan, the United Kingdom and Australia.

For an economy of our size, that is a result worthy of recognition. Businesses also reported improved confidence, stronger export and forward orders, and benefits flowing through from increased infrastructure activity.

This strong start echoes many of the themes that defined 2025. Manufacturers faced sustained cost pressures throughout the year, yet continued to adapt, innovate and deliver solid export performance.

Food and beverage producers, advanced manufacturers and precision engineering firms all showed resilience in the face of challenging conditions.

While 2025 was about regaining stability, early indicators suggest 2026 has the potential to deliver stronger forward momentum.

Across the wider economy, several trends are beginning to move in a positive direction. GDP rose 1.1 percent in the September 2025 quarter, supported by a 2.2 percent increase in manufacturing and reinforcing how important the sector is to New Zealand’s overall economic performance. Inflation has eased, interest rates are settling, and confidence among businesses and consumers is gradually lifting.

These changes matter at a practical level, particularly when firms are making decisions about capital investment, expansion, and workforce planning.

It is fitting, then, that we again celebrate excellence in the sector with the 2026 edition of the Minister for Manufacturing Awards. Last year’s inaugural event was a huge success, and award recipients from Taranaki to Dunedin demonstrated how capability building and innovation can support both commercial success and regional prosperity.

This year’s event will be held at Auckland Showgrounds on 27 May and will again recognise Manufacturer of the Year, Manufacturing Leader of the Year, Apprentice of the Year and Excellence in Process Innovation.

The awards will also be expanded to include three new categories. Firms with fewer than 50 employees will now be eligible for a dedicated small business Manufacturer of the Year Award, reflecting and celebrating the reality that small manufacturers make up around 97 percent of the sector.

An Emerging Manufacturing Leader of the Year award will shine a spotlight on the next generation of innovators and trailblazers, alongside a Manufacturing Lifetime and Legacy Award to recognise those who have helped shape the sector. Entries for the 2026 awards open on 23 February and close on 31 March, and I encourage manufacturers to put their names forward.

 Looking ahead, the year is shaping up to offer genuine opportunity. As Minister, my focus is on building on the foundations laid last year, reinforcing the positive signals now emerging and strengthening the capabilities that keep New Zealand manufacturing competitive on the global stage.

The sector has shifted up a gear, and this Government is committing to sustaining that momentum.

Requests for category information packs for the minister of Manufacturing Awards can be sent to info@amanz.nz