Chile Industrial Activity Contracts in August

Chile’s industrial production declined 5.7% year-on-year in August 2026, accelerating from a 5.1% fall in the previous month. The declined was led by a 11.7% fall in mining output, reflecting lower activity recorded in metallic mining (-16.9%) largely due to a 12.8% decline in copper extraction and processing as a storm that occurred in July disrupted production operations and left lingering effects throughout August. Conversely, non-metallic mining increased by 22.3%. Manufacturing output fell 2.6%, slowing from a 4.9% drop. Meanwhile, production in utilities rose 1%, accelerating from a 0.3% rise in the prior month. On a monthly basis, industrial production fell 2.2%, easing from a 3.8% decline.

Chile’s industrial production declined 5.1% year-on-year in July 2026, reversing a 1.3% increase in June. The contraction was led by mining, which fell 7.2%, mainly due to a 10.7% decline in metal mining as copper extraction and processing dropped 9.4%. The decline was attributed to unfavorable weather conditions in northern Chile that disrupted production, along with maintenance work at major mining operations. Manufacturing output fell 4.9%, largely due to a 25.9% drop in coke and refined petroleum products, as weather-related disruptions affected gasoline and diesel production. In contrast, utilities output increased 0.3%, supported by a 0.8% rise in electricity generation, particularly from hydroelectric plants. On a monthly basis, industrial production fell 3.8%.

Chile's industrial production rose 1.3% year-on-year in June 2026, rebounding from a 7.5% decline in May and marking the first expansion in nine months. The recovery was driven by a 6% increase in mining output, as metallic mining rose 4.6%, non-metallic mining advanced 14.5%, and energy resources production increased 4.3%. Copper production was up 5.1% from a year earlier. Utilities output also grew 2.4%, led by a 3.5% increase in electricity generation, supported by higher output from coal and coal-petcoke power plants. In contrast, manufacturing output contracted 3.2%, mainly due to an 8.1% decline in food production. On a monthly basis, industrial production increased 1.6%.