Strong automotive sector output drives production growth in Jan
The volume of industrial production increased by 2.4% in January compared to the same period of the previous year, with automotive sector output growth reaching 10.9%, according to a second reading of data by the Central Statistical Agency (KSH).
Based on working-day adjusted data, industrial output rose by 2.7%. The January output – according to seasonally and working-day adjusted indices – was 4.6% higher than the level of the previous month.
The volume of industrial export grew by 4.3% year-on-year. Automotive exports, representing a 37% weight within export sales in manufacturing increased by 6.5%. The export in the computer, electronic and optical products, accounting for a 16% weight, went up by 9.9%.
Industrial domestic sales decreased by 4.5%, while export sales went up by 4.9%.
Within industry, production grew by 3% in the decisive weight (94%) representing manufacturing, while it declined by 9.3% in the small weight representing mining and quarrying. The output of the energy industry rose by 2.8%
After a drop in December 2019, automotive sector output, equipment representing 31% of manufacturing output, exceeded the previous year’s level by 10.6%. The volume of manufacturing of motor vehicles went up by 19%, while the manufacture of parts and accessories for motor vehicles increased by 4.9%.
The output of the computer, electronic and optical products sector, accounting for 12% of manufacturing, grew by 8.4%. The manufacture of consumer electronics carrying a significant weight rose by 26%.
The manufacture of food products, beverages and tobacco products, having an 11% share of manufacturing, went up by 5.3% compared to the same month of the previous year, with increases measured in both sales directions.
The manufacture of rubber and plastics products, and other non-metallic mineral products decreased by 3.3%, the manufacture of basic metals and fabricated metal products dropped by 13.2%. The manufacture of electrical equipment, having a smaller weight, grew at the highest rate among the subsections, by 17.7%.
The manufacture of textiles, wearing apparel, leather and related products having the smallest weight declined by 8.8%, with decreases measured in almost every class.
The manufacture of coke, and refined petroleum products fell the most year-on-year, by 14.2%, owing to a drop in domestic sales, KSH says.
Industrial production decreased in Central Transdanubia (by 0.7%), Southern Transdanubia (by 3.1%) and Budapest (by 8%). In the other regions, volume increases of 2.4% to 10.5% were recorded. The highest increase was recorded in the Pest region.
Total new orders volume in the observed divisions of manufacturing grew by 8.6% compared to January 2019. New domestic orders declined by 2.8%, new export orders went up by 10.4%. The total stock of orders at the end of January was below the previous year’s level by 3.4%.
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.