Development of output in the goods-producing sector in November 2023

According to the Federal Statistical Office, production in the manufacturing sector fell¹ by 0.7% in November compared to the previous month. The downward trend that began last spring thus continued.² In November, there were further declines in industry and construction (-0.5 % and -2.9 % respectively), while the energy sector once again reported a significant increase (+3.9 %).
The individual branches within the industrial sector saw differing developments in November: The important automotive and automotive parts sector and the electrical equipment sector reported falls in output of 0.6% and 3.3% respectively; there were also declines in pharmaceutical products (-3.8%) and data processing equipment, electrical and optical products (-5.7%). By contrast, the important mechanical engineering sector saw an increase of +1.1 %. There was also growth in output in the energy-intensive industries as a whole (+3.1 %), which was distributed across the five sectors as follows: chemical products (+5.1 %), coking and oil processing (+3.2 %), paper and cardboard (+2.6 %), glass, glassware and ceramics (+1.8 %) and metal production and processing (+0.5 %).
Industrial production in November was 1.9 % below its average level in the third quarter, meaning that another noticeable decline is expected for the fourth quarter as a whole. Leading indicators such as new orders and the business climate do not suggest that a change in the current economic trend can be expected any time soon. Over the course of the year, however, it is likely that industrial production will pick up again as it is expected that the domestic economy will recover and exports will rise again.

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¹Press release by the Federal Statistical Office of 7 December 2023.
²All figures are based on provisional data and have been adjusted for price, calendar day and seasonal factors (X13 JDemetra+ procedure).