Eurozone: Industrial output expands in March at the fastest pace in 20 months
May 14, 2013
According to data released by Eurostat on 14 May, industrial production rose 1.0% in March over the previous month in seasonally adjusted terms. The reading was above the 0.3% rise recorded in February (previously reported: +0.4% month-on-month) and market expectations of a 0.5% increase. In addition, the result marked a second consecutive rise and the highest monthly increase in 20 months.
At a country level, Portugal (+5.3% mom) and the Netherlands (+4.5% mom) were the region's best performers whereas, at the other end of the spectrum, Slovenia (-2.9% mom) and Ireland (-2.2% mom) recorded the worst results. Among the region's major economies, industrial output expanded in Spain (+2.1% mom) and Germany (+1.7%), whereas it contracted in Italy (-0.8% mom) and France (-0.9% mom).
On an annual basis, industrial production declined 1.7%, which, nevertheless, represents an improvement over the 3.2% contraction registered in February. As a result, the trend stabilized in March, with average annual growth in industrial production remaining unchanged at the minus 2.5% seen in February.
FocusEconomics Consensus Forecast panellists see industrial production contracting 0.8% in 2013, which is down 0.2 percentage points from last month's forecast. For 2014, panellists see industrial production rebounding to a 1.9% expansion.
Author: Armando Ciccarelli, Head of Data Solutions