Eurozone Industrial Output Rises Faster than Expected


Industrial production in the Euro Area increased by 3.8 percent year-on-year in August 2017, beating market expectations of 2.5 percent and following an upwardly revised 3.6 percent gain in July. Output rose at a faster pace for intermediate, capital and non-durable consumer goods. Among Eurozone's largest economies, industrial production grew faster in Germany, Italy and Spain.

Year-on-year, production grew at a faster pace for most categories: Intermediate goods (5.3 percent from 5.1 percent in July); capital goods (4.9 percent from 4.6 percent) and non-durable consumer goods (2.4 percent from 0.5 percent). Meanwhile, production of durable consumer goods rose at a slower 3.6 percent after an increase of 6.3 percent in July, and energy output contracted 0.7 percent, following a gain of 1.1 percent in the previous month.

In the EU28, industrial output advanced by 3.9 percent, following a 3.3 percent gain in July, driven by higher production of capital goods (5.5 percent from 4.8 percent in July); intermediate goods (5.3 percent from 5 percent); and non-durable consumer goods (2.3 percent from 0.5 percent). On the other hand, durable consumer goods output rose at softer rate (3.6 percent from 5 percent in July) and production of energy shrank (-0.4 percent from a flat reading).

Among EU Member States for which data are available, the highest increases in industrial production were registered in Lithuania (13.1 percent), Latvia (12.1 percent) and Romania (10.3 percent). Also, output grew in Italy (5.7 percent), Germany (4.7 percent), Spain (2.5 percent) and France (1.3 percent). In contrast, a decrease was observed in the Netherlands (-1.8 percent).

On a monthly basis, industrial output increased 1.4 percent, above market expectations of 0.5 percent, due to strong production of capital goods (3.1 percent), durable consumer goods (1.3 percent) and intermediate goods (1.2 percent). 

In the EU28, output jumped 1.7 percent, due to production of capital goods rising by 3.2 percent, durable consumer goods by 1.2 percent, intermediate goods by 1 percent, energy by 0.7 percent and non-durable consumer goods by 0.4 percent.

Among EU Member States for which data are available, the largest increases in industrial production were registered in the Czech Republic (14.3 percent), Malta (5.4 percent) and Portugal (4.7 percent). Also, output fell in Germany (3 percent), Italy (1.2 percent) and Spain (1.1 percent). The highest decreases were recorded in the Netherlands (-2.3 percent), Sweden (-1.8 percent) and France and Finland (both -0.4 percent).

Eurozone Industrial Output Rises Faster than Expected


Eurostat | Joana Ferreira | joana.ferreira@tradingeconomics.com
10/12/2017 9:36:14 AM