Turkey: Industrial production growth ends 2017 on a high note
February 8, 2017
Industrial output growth in December suggests the Turkish economy ended the fourth quarter on a strong footing. Factory production rose 8.7% in year-on-year terms, accelerating from the already robust 7.0% expansion recorded in November.
According to the Statistical Institute, December’s headline figure largely reflected higher output gains in the manufacturing, and mining and quarrying sectors. By industrial groupings, growth in intermediate goods production jumped from 7.7% in November to 13.9% in December, while durable consumer goods output rebounded from a 2.7% contraction in the previous month to a 0.1% increase in December. Capital goods output recorded another month of double-digit growth while energy production accelerated mildly. Non-durable consumer goods production also posted robust growth, although at a slower pace compared to November’s figure.
On a seasonally- and calendar-adjusted month-on-month basis, industrial production rose 0.9% in December, above the 0.2% increase recorded in November (previously reported: +0.3% seasonally-adjusted month-on-month) and the fastest expansion in five months. Moreover, healthy headline growth pushed annual average growth in industrial output to an over five-year high of 6.3% in December, above the 5.7% reading logged in November.
Author: Javier Colato, Economist