Eurozone: Industrial production contracts unexpectedly in February
April 11, 2017
The industrial sector in the common-currency bloc deteriorated in February, performing worse than expected. Industrial production decreased a seasonally-adjusted 0.3% from the previous month, contrasting January’s revised 0.3% increase (previously reported: +0.9% month-on-month). The reading undershot market analysts’ expectations of a slim 0.1% expansion.
February’s downturn reflected a sharp fall in energy production. In addition, output of consumer goods shrank, while durable goods production recorded zero growth. On an annual basis, industrial production rose 1.2% in February (January: +0.2% year-on-year).
Among the Euro area economies for which data are available, the largest drop was recorded in Ireland, where industrial output plummeted 15.5% over the previous month. Industrial production also contracted significantly in Belgium (-4.9% mom) and France (-1.6% mom). On the flipside, the largest expansions were recorded in Slovenia (+3.6% mom), Latvia (+3.2% mom) and Estonia (+2.4% mom). Regarding the remaining largest economies, output fell in Spain (-0.3% mom) but rose in Germany (+0.8% mom) and Italy (+1.0% mom).