Colombia: Industrial production declines for second consecutive month in May

Industrial production contracted for a second consecutive month in May, declining a further 0.6% on the heels of April’s 6.8% contraction. Colombia’s National Department of Administrative Statistics (DANE) reported mixed performances across sectors, with 24 of the 39 sectors surveyed reporting contractions in the month. Declines in the machinery, equipment and textiles sectors drove May’s overall contraction as competition from Asian markets drove down demand.

As a result of May’s drop, annual average growth in industrial production decreased from 1.5% in April to 1.1% in May.

Panelists surveyed for this month’s LatinFocus report expect industrial production to expand 2.3% in 2017, which is unchanged from last month’s forecast. For 2018, the panel expects industrial production to increase 2.9%.