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Automotive output growth slows to 2% in August

Year-on-year output of Hungaryʼs automotive sector, a major engine of industrial growth, edged up 2.0% in August, slowing sharply from the previous month, shows a second reading of industrial production data from the Central Statistical Office (KSH) issued Monday.   

Output of the automotive sector, which accounts for about 25% of the countryʼs total manufacturing output, had jumped 34.6% year-on-year in July, albeit from a low base, noted state news wire MTI.

In August 2019, the volume of overall industrial output in Hungary grew by 0.3% year-on-year, the KSH confirmed in its second reading, which did not change from the first estimate on October 7. Based on working day-adjusted data, output rose 2.7% in the month.

In a month-on-month comparison, industrial output was down a seasonally and working day-adjusted 1.2% in August.   

Output of the computer, electronics and optical equipment sector, which accounts for around 13% of manufacturing output, increased by 5.9% year-on-year in August.

Output of food, drink and tobacco products declined 3.2%. The sector generates around 12% of manufacturing output.

The export volume of the industrial sector increased 2.0% year-on-year in August as exports of the automotive sector (representing 34% of total export sales) rose 13.7%, while exports of the computer, electronics and optical equipment sector (accounting for 18% of the total) climbed 6.6%.

Industrial domestic sales decreased by 1.3% in August, within which domestic sales in manufacturing were 0.2% higher compared to the same month of the previous year.

The order stock in parts of the manufacturing sector which the KSH tracks fell 6.7% at the end of August from 12 months earlier. The new order volume declined 5.8%, as new domestic orders inched up 0.7%, but new export orders fell 6.9%.

In the period January-August, industrial output rose 5.6% year-on-year compared to the first eight months of 2018. The volume of export sales (representing 63% of all sales) went up by 6.2%, while domestic sales grew by 6.4%.

A first estimate of industrial output data for September 2019 will be released on November 8, with a second, more detailed estimate to follow on November 13.