Industrial Production Higher in Euro Area and European Union

Eurostat figures have revealed that industrial productivity has increased for October in the euro area, and the European Union, by a month on month 0.6% and 0.5% respectively.

The data is a huge turnaround for the industrial sector when compared to the figures for September, as production fell by 0.3% in the euro area, and remained stable for the European Union member states as a whole.

October also fared better with the year on year comparison, as production was hiked up by 1.9%.

For the European Union the year on year figures were also positive, with a even higher increase of 2.4%.

Monthly Figures Reveals Production Increase

The breakdown of the figured for October, disclosed that the production of durable consumer goods increased the most, accelerating by 1.8%.

Capital goods increased by 1.4%, followed by energy which rose by 0.6%, and non-durable consumer goods, that expanded by 0.4%.

The only category to suffer a contraction was intermediate goods, which fell only slightly by 0.1%.

Across the European Union, there was an increase of 0.5%, where the rise of durable good production was again chiefly responsible for the hike in industrial activity, as the sector grew by 1.2%.

In a pattern that mirrored the euro area, there was increases for capital goods by 1%, energy by 0.8%, non durable goods by 0.2%. Although intermediate goods actually grew as opposed to falling, with a rise of 0.1%.

Lithuania Celebrates Highest Production Rise

The highest rise in industrial production was found in the Lithuanian economy, who enjoyed a significant rise of 11.3% for October.

This was comfortably ahead of the Netherlands, who were the next best performer with an increase of 4.3%.

Portugal’s industrial sector grew at 3.9%, with Ireland following them on 3.4%.

Unsurprisingly, Greece fared the worst, with a decline of 1.2%, Denmark and Finland also experienced reductions in their industrial sector by 0.9%. 

Year of Year Comparison Reveals Similar Statistics

In a correlation with the month on month figures, durable goods was the main driver for the production increase for October this year, compared to the same month last year, as they rose by 4.2%.

Capital goods increased by 3.5%, intermediate goods by 1.5%, non-durable consumer goods by 0.7% and energy by 0.2%.

In the EU28, the year on year rise of 2.4%, is due to production of capital goods rising by 4.0%, durable consumer goods by 3.3%, intermediate goods by 1.6%, energy by 1.2%, and non-durable consumer goods by 1.0%.

Ireland enjoyed the highest member state year on year industrial production rise, with an increase of 14.6%.

The largest decreases were found in the Netherlands by minus 2.6%, Estonia, with a minus score of 2.1%, and Greece where production fell by 1.9%.

UK Inflation Back into Positive Figures

Inflation in the UK is back into positive figures again, with an increase of 0.1% for November, up from the minus 0.1% recorded for October.

The main contributors to the rise in prices, were increases in transport costs, alcohol and tobacco prices. All the price hikes in these areas, was offset by falling clothes prices.

The Retail Prices Index in he UK, which is not a national statistic, grew by 1.1% in November, up from 0.7% in October 2015.