Germany: Industrial output rises significantly in August
October 9, 2013
In August, industrial production expanded a seasonally-adjusted 1.4% over the previous month. The reading contrasted the revised 1.1% decline observed in July (previously reported: -1.7% month-on-month) and overshot market expectations of a 1.0% rise.
August's rebound in industrial output was mainly the result of a strong expansion in manufacturing output, with production of investment goods surging over the previous month.
Compared to the same month last year, industrial production rose 0.3% in August - the highest in 14 months - which contrasts the revised 1.7% decline observed in July (previously reported: -2.2% year-on-year). As a result of the strong annual figure, the trend reversed its downward trajectory, with the annual average variation in industrial production rising from minus 1.6% in July to minus 1.5% in August.
Panelists polled by FocusEconomics expect that industrial production will expand 0.1% this year, which is unchanged from last month's forecast. For 2014, the panel sees industrial production rebounding to a 2.5% expansion.
Author: Ricardo Aceves, Senior Economist