Published on: 14 March 2018

Industrial production increased by 6.9%

In January 2018, the volume of industrial output rose by 6.9% year-on-year. Based on working-day adjusted data production grew by 6.7%.

In January 2018:

The volume of industrial production increased by 6.9% year-on-year. (Compared to the data of January published in the first estimate, there was no change in the data of the second estimate.)

Industrial output – according to the seasonally and working-day adjusted index – was above the previous month’s level by 1.5%.

The volume of industrial export exceeded the level of the previous year by 4.9. Within export sales in manufacturing, the exports of transport equipment representing 35% rose by 3.4%. In the manufacture of computer, electronic and optical products – the other significant subsection accounting for 15% of manufacturing exports –, export volume increased by 7.9%.

Industrial domestic sales grew by 0.4%, within this, the domestic sales of manufacturing were 16.8% higher year-on-year.

Within industry, production rose by 8.4% in manufacturing representing a decisive weight (95%) and by 94% in mining and quarrying (having little weight). The output of energy industry (electricity, gas, steam and air-conditioning supply) fell by 18.1%, mainly as a result of much warmer weather compared with the previous year (according to the Hungarian Meteorological Service the January 2018 average temperature was 8.5°C higher than the 2017 January average).

Changes in the production and sales of manufacturing


Period Production Total Domestic Export Share of export in sales at current prices
Volume index, corresponding period of previous year = 100.0

The production of transport equipment representing 29% of manufacturing output rose year-on-year by 5.2%. The manufacture of parts and accessories for motor vehicles went up by 10.5%, whereas the manufacture of motor vehicles declined by 0.9%.

The manufacture of computer, electronic and optical products accounting for 12% of manufacturing grew by 6.7%. Out of the two largest groups the more significant one, the manufacture of communication equipment increased by 51%, while the manufacture of consumer electronics dropped by 4.9%.

The manufacture of food products, beverages and tobacco products giving 10% of manufacturing was 9.8% above the low base level of the previous year’s same month. Increases were recorded in every group, within this, the largest one, the processing and preserving meat and the production of meat products (representing 27% of the subsection), grew by 14.6%, while the manufacture of beverages rose at the highest rate of 20%.

Out of the subsections the manufacture of pharmaceuticals, medicinal chemical and botanical products representing a small weight grew the most by 29%, partly due to the low base effect.

After a considerable decrease in the previous month the manufacture of chemicals and chemical products increased by 11.8% (a drop was registered only in one of the 16 classes).

The medium weight representing manufacture of basic metals and fabricated metal products rose by 16.1%, while the manufacture of rubber and plastics products, and other non-metallic mineral products went up by 24.5%, owing to increases in both domestic and export demand.

The growth continued in manufacture of electrical equipment, output increased by 6.2%.

The manufacture of machinery and equipment n.e.c accounting for 6.1% of the manufacturing output declined by 3.0%, primarily due to a significant fall in the manufacture of engines and turbines, except aircraft, vehicle and cycle engines, which represents a close to one quarter weight.

The other manufacturing, and repair and installation of machinery and equipment having a small weight fell by 9.0% year-on-year, primarily as a result of a drop in export sales of the manufacture of medical and dental instruments and supplies.

Changes in production in the major subsections of manufacturing, January 2018


Subsections Volume indices of production, corresponding period of previous year = 100.0 Share of subsection within manufacturing at current prices
code denomination
CAManufacture of food products, beverages and tobacco products109.810.2
CGManufacture of rubber and plastics products, and other non-metallic mineral products124.58.6
CHManufacture of basic metals and fabricated metal products, except machinery and equipment116.18.4
CIManufacture of computer, electronic and optical products106.711.6
CKManufacture of machinery and equipment n.e.c.97.06.1
CLManufacture of transport equipment105.228.8

Along with a 3.0% increase in the number of employees, the labour productivity of industrial enterprises with 5 or more employees was 3.7% higher in January than in the same month of the previous year.

Industrial output rose in every region of Hungary year-on-year, the most by 14.2% in Southern Transdanubia and the least by 3.0% in the Northern Great Plain.

Total new orders volume in the observed subsections of manufacturing increased by 12% compared to the same month of 2017. New domestic orders volume grew by 22%, while new export orders rose by 10.7%. The volume of total stock of orders was below the level of January 2017 by 6.2%.