Germany: Industrial production recovers in August
October 7, 2016
In August, industrial production rose 2.5% from the previous month in seasonally-adjusted terms, in contrast to July’s large 1.6% drop, which had been the lowest reading in nearly two years. August’s result exceeded market expectations of a softer 0.8% rise. The rebound was driven by turnarounds in the manufacturing and mining and quarrying sectors. In fact, manufacturing expanded at the fastest rate since March 2010. Conversely, construction fell into contraction and electricity and energy supply decelerated.
Compared to the same month last year, industrial production increased 1.9% in August, which contrasted July’s 1.3% decline. The overall trend continued to moderate as annual average growth in industrial production inched down from 0.6% in July to 0.5% in August.