Hungary: Industrial output accelerates amid stronger exports
January 14, 2011
In November, industrial production increased 14.5% in calendar adjusted terms over the same month the previous year. The figure exceeded October's 8.3% expansion and overshot market expectations, which had industrial output rising 8.6%. That said, annual growth is expected to drop in the months ahead, as the weak comparison base tallied throughout the crisis are removed from the equation. That said, a month-on-month comparison confirms the significant improvement suggested by the annual figures, as output increased 4.3% in seasonally adjusted terms over the previous month. Growth in the industrial sector continued to be buttressed by exports, which soared 20.7% annually (October: +14.0% year-on-year). Production for the domestic market showed signs of improvement, but remained in negative territory, contracting 5.0% (October: -7.2% yoy). At the sector level, the acceleration was broad-based, as all sectors improved in annual working-day adjusted terms. However, manufacturing led the recovery, expanding 15.8% (October: +9.2% yoy). Electricity, gas, steam and air conditioning supply increased 2.0% (October: +0.5% yoy), while mining and quarrying also improved from an 8.5% contraction observed in October to a 4.9% drop in November.