Industrial production in Chile increased 1.0 percent year-on-year in December 2018, following a 0.4 percent gain in the previous month. Manufacturing output rebounded (0.8 percent from -4.7 percent in November), mainly due to machinery & equipment (+18.6 percent) and paper & paper products (+8.1 percent). Additionally, output rose further for utilities (0.8 percent from 0.7 percent), namely gas (+33.3 percent) and water (+0.8 percent) while electricity supply dropped (-2.6 percent). On the other hand, output growth slowed for mining & quarrying (1.3 percent from 5.7 percent), as cooper production went up at a softer pace (4.3 percent from 7.0 percent). On a seasonally adjusted monthly basis, industrial production fell 1.5 percent, after an upwardly revised 2.0 percent increase in November. Industrial Production in Chile averaged 1.90 percent from 1997 until 2018, reaching an all time high of 14.05 percent in May of 2000 and a record low of -11.50 percent in February of 2009.
Industrial Production in Chile is expected to be 1.80 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Industrial Production in Chile to stand at -0.30 in 12 months time. In the long-term, the Chile Industrial Production is projected to trend around 3.40 percent in 2020, according to our econometric models.