Brazil: Industrial production expands slightly in April
June 6, 2017
In April, industrial production rose 0.6% from the previous month in seasonally-adjusted terms, which contrasted March’s revised 1.3% fall (previously reported: -1.8% month-on-month). The result overshot market expectations of flat growth as manufacturers gradually recover from Brazil’s deep recession. Behind the upturn were gains in the production of intermediate and capital goods.
In annual terms, industrial production plummeted 4.5% (March: +1.3% year-on-year) as 18 of the 26 categories that the Brazilian Institute of Geography and Statistics (IBGE) surveyed recorded negative results. The largest decrease was seen in the production of food products. However, the trend inched up and the annual average variation in industrial production improved from minus 3.5% in March to minus 3.4%.