Stalling auto sector slows industrial output
Although the volume of Hungary’s industrial output was up by 0.6% in November compared to the corresponding month a year earlier, the automotive sector, which is considered the engine of the economy, declined by 2.5%, according to a second estimate of data from the Central Statistical Office (KSH) published today.
The volume of industrial output growth adjusted for working days was equal to the non-adjusted figure. However, growth of the automotive sector dropped for the third month in a row.
The volume of industrial export sales rose by 0.4% compared to the corresponding period of 2015, while industrial domestic sales grew by 1.7%.
The export of transport equipment, representing 37% of manufacturing exports, declined by 2.2%, while, within industrial domestic sales, manufacturing was up by 2.6% in November compared to the same month a year earlier.
Of the sectors of industry, production rose by 1.6% in manufacturing (representing a decisive weight of 95%) and fell by 24% in mining and quarrying (carrying little weight) compared to the preceding year, according to KSH data.
The output of the energy industry (electricity, gas, steam and air conditioning supply) declined by 8.1%, due to a significant fall in export demand for gas, as well as a decline in domestic sales of electric power generation, transmission and distribution, the KSH added.
In the January-November period, industrial production rose by 1.0% compared to the corresponding eleven-month period of 2015. The volume of export sales (representing 65% of all sales) grew by 0.8%, while that of domestic sales (accounting for 35% of all sales) dropped by 1.7%, according to the KSH.
Industrial production increased along with a greater, 2.7% increase in the number of employees, so that the labor productivity of industrial enterprises with five or more employees decreased by 1.2%, the KSH added.
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