Eurozone May Industrial Output Growth Beats Forecasts


Industrial production in the Euro Area rose by 2.4 percent year-on-year in May 2018, following a 1.7 percent advance in the previous month and beating market expectations of 2.1 percent. Output growth picked up for intermediate and non-durable consumer goods.

Year-on-year, output growth picked for both intermediate goods (2.3 percent vs 0.8 percent in April); and non-durable consumer goods (2.4 percent vs 1.2 percent). Also, capital goods output continued to rise at a solid pace (3.9 percent vs 4 percent), while production fell for energy (-1 percent vs -1.1 percent) and durable consumer goods (-0.2 percent vs 0.4 percent).

In the EU28, industrial production went up 2.4 percent (vs 1.9 percent in April), as output increased at faster pace for intermediate goods (2.2 percent vs 0.9 percent) and non-durable consumer goods (2 percent vs 1.1 percent). Meanwhile production growth eased for both durable consumer goods (1.4 percent vs 1.9 percent) and capital goods (3.7 percent vs 4.3 percent). Energy output contracted 0.8 percent in May, after a 0.1 percent decline in April.

Among Member States for which data are available, the highest increases in industrial production were registered in Poland (7.8 percent), Ireland (7.3 percent) and Slovenia (5.9 percent), and the largest decreases in Malta (-6.3 percent), Denmark (-3.3 percent) and Portugal (-2.6 percent).

On a monthly basis, industrial output surged 1.3 percent, recovering from April's 0.8 percent decline and beating forecasts of 1.2 percent gain. It was the steepest increase in industrial production since last November, as output rose for all categories: durable consumer goods (2.1 percent vs -2.1 percent); non-durable consumer goods (2.1 percent vs -1.1 percent); intermediate goods (1.6 percent vs -0.7 percent); capital goods (0.7 percent vs 2.2 percent); and energy (0.5 percent vs -5.2 percent).

In the EU28, output jumped 1.2 percent, following a decline of 0.8 percent in April, due to increases in durable consumer goods (2 percent vs -1.7 percent); non-durable consumer goods (1.7 percent vs -0.8 percent); intermediate goods (1.6 percent vs -0.6 percent); and capital goods (0.6 percent vs 1.2 percent). Energy production, however, continued to fall (-0.1 percent vs -4.4 percent).

Among Member States for which data are available, the largest increases in industrial production were registered in Lithuania (11.6 percent), Sweden (3.4 percent) and Ireland (3.2 percent), and the highest decreases in Denmark (-2.8 percent) and Portugal (-2 percent).

Eurozone May Industrial Output Growth Beats Forecasts


Eurostat | Joana Ferreira | joana.ferreira@tradingeconomics.com
7/12/2018 9:48:18 AM