Industrial output rose 1.0% year over year in December, which is a reversal from November’s increase of 4.5%. The number represented the worst reading since January 2021. The slowdown in December was partly driven by deteriorating mining and quarrying output, which expanded at the slowest pace since September 2020. In addition, industrial output weakened.
On a seasonally adjusted monthly basis, industrial production rose at a more moderate pace of 0.7% in December (November: +2.7% MoM). Meanwhile, the trend indicated a downward trend, with the median annual variation of industrial production coming in at -0.4%, down from November’s reading of -2.5%.
FocusEconomics panelists expect industrial output to expand 1.2% in 2023, which is 0.2 percentage points lower than last month’s forecast. For 2024, the committee expects industrial output to grow by 4.7%.