Brazil: Industrial production growth accelerates in April
June 4, 2013
In April, industrial production expanded 1.8% over the previous month on a seasonally adjusted basis. The result was above the 0.8% increase observed in March (previously reported: +0.7% month-on-month) and overshot the 1.0% rise expected by the market. In annual terms, industrial production expanded 8.4% in April (March: -3.6% year-on-year), which represents the strongest gain in almost three years.
17 out of the 27 categories surveyed by the Brazilian Institute of Geography and Statistics (IBGE) registered an increase in output. The largest expansion was observed in capital goods as well as in consumer goods.
As a result of the increase in April, annual average growth in industrial production stepped up from minus 1.9% in March to minus 1.0% in April. LatinFocus Consensus Forecast participants see industrial production expanding 2.9% in 2013, which is down 0.2 percentage points from last month's estimate. In 2014, industrial output is expected to rise 3.5%.