Belgium: Industrial output growth slows in October
December 20, 2010
In October, industrial production grew 5.6% over the same month last year. The reading represented a notable slowdown compared to the 8.1% expansion observed in the previous month but nonetheless represented the eighth consecutive month of positive growth in the industrial sector. The slowdown observed in October was broad-based. Manufacturing grew 8.3% annually (September: +11.0% year-on-year) while mining and quarrying contracted 4.7% (September: +0.3% year-on-year) and electricity, gas and water supply declined 2.9% (September: +4.1% yoy). Only the construction sector continued to grow at virtually the same pace as in the previous month, increasing 0.9% year-on-year (September: +0.8% yoy). A month-on-month assessment confirms the deceleration suggested by the annual figures, as industrial production grew a seasonally adjusted 0.6% in October, less than half the 1.3% increase observed in September. While industrial output slowed in October, the trend continues to point upwards, with annual average variation in industrial production jumping from 1.8% in September to 3.2% in October, which represented the fastest pace since October 2007.
Author: Ricardo Aceves, Senior Economist