Argentina: Contraction in the industrial sector sharpens in November
January 3, 2019
Industrial production plunged 13.3% over the same month of last year in November, according to data released by the National Statistical Institute (INDEC) on 3 January, marking a steeper fall than October’s 6.8% year-on-year decline and the worst reading since June 2002.
November’s result again reflected contractions in almost all components of the index. As in the previous month, the textile; metal-mechanics; rubber and plastic products; and automotive industries recorded the biggest drops. A profound fall in domestic demand was once more behind the contraction in industrial output. The contraction in textile production was especially sharp. On the other hand, the tobacco and basic metals industries expanded moderately in November.
Argentina Industrial Production Forecast
Panelists participating in the LatinFocus Consensus Forecast expect that industrial production will contract 0.5% in 2019, which is down 0.7 percentage points from last month’s forecast. For 2020, the panel expects industrial output to rise 2.1%.