Biznes Fakty
Industrial production in June – Central Statistical Office data
In June, industrial output decreased by 0.1 percent compared to the same month last year and fell by 1.1 percent from the prior month, according to the Central Statistical Office.
Analysts polled by PAP Biznes had anticipated a rise in production of 1.4 percent year-on-year and a 0.3 percent increase month-on-month.
When accounting for seasonal variations, the industrial production sold in June was 0.1 percent higher than in the same month the previous year, but 0.5 percent lower than in May.
Year-on-year, a reduction in sold production (at constant prices) was noted in 18 industrial sectors in June, particularly in the production of chemicals and chemical products – down by 7.7 percent, other transport equipment – down by 7.4 percent, production and supply of electricity, gas, steam, and hot water – down by 6.8 percent, electrical equipment production – down by 3.3 percent, paper and paper products – down by 3.1 percent, and the mining of hard coal and lignite – down by 2.3 percent.
Conversely, there was an increase in sold industrial production compared to June in sectors such as the repair, maintenance, and installation of machinery and equipment – up by 13.0 percent, waste management and raw material recovery – up by 9.4 percent, the production of motor vehicles, trailers, and semi-trailers – up by 5.9 percent, computers, electronic and optical products – up by 4.3 percent, machinery and equipment – up by 3.1 percent, and metals – up by 2.6 percent.
Economists’ observations
„There is noticeable disappointment within the industry (perhaps the expectations were overly optimistic?), and the trend has remained stagnant for quite some time,” mBank economists remarked in their commentary.
„June’s industrial production presented a significant surprise. The Central Statistical Office noted a DECREASE of 0.1% year-on-year, contrasting with the consensus that predicted a 1.6% increase. Manufacturing production fell slightly short of expectations (+0.4% y/y), further impacted by declines in the energy generation and mining sectors. In summary, June was weak for the industry, but we do not see grounds for alarm,” Pekao analysts commented.
