Published on: 11 January 2018

Industrial production increased by 3.4%

In November 2017, the volume of industrial output rose by 3.4% year-on-year. The index adjusted for working days was equal to the non-adjusted index. Output grew by 5.2% in the first eleven months of 2017 compared to the same period of the previous year.

In November 2017:

The volume of industrial production increased by 3.4% year-on-year. (Compared to the data of November 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 below the level of the previous month by 2.1%.

The volume of industrial export sales increased by 3.9% compared to the same period of the previous year. Within export sales in manufacturing, the exports of transport equipment representing 35% declined by 4.5%. At the same time, in the manufacture of computer, electronic and optical products – accounting for 16% of manufacturing exports –, export sales rose by 4.6%.

Industrial domestic sales grew by 2.0%, within this, the domestic sales of manufacturing were 2.7% higher year-on-year.

Production increased in all three sections of industry: by 3.1% in manufacturing representing a decisive weight (95%), by 3.7% in energy industry (electricity, gas, steam and air-conditioning supply) and by 74% in mining and quarrying having little weight.

Changes in the production and sales of manufacturing

(%)

Period Production Total Domestic Export Share of export in sales at current prices
sales
Volume index, corresponding period of previous year = 100.0
2015108.0108.2106.7108.774.9
2016101.4101.4101.8101.375.1
2017January106.8106.4102.3107.677.0
February102.9100.095.9101.477.0
March114.4112.5109.5113.676.0
April96.895.296.694.774.5
May109.0110.5106.6111.975.1
June103.9104.1103.5104.375.2
July100.3100.7102.3100.173.2
August106.9106.9104.3108.073.0
September105.7105.2105.4105.275.0
October108.2109.2110.2108.974.7
November103.1102.7102.7102.774.0
From the beginning of the year105.2104.8103.6105.375.0

Compared to the previous month's growth, the production of transport equipment representing 28% of manufacturing output dropped year-on-year by 2.8%. The manufacture of motor vehicles fell by 12.4%, whereas the manufacture of parts and accessories for motor vehicles increased by 7.4%.

The manufacture of computer, electronic and optical products accounting for 12% of manufacturing rose by 4.9%. Out of the two dominant groups, the larger one, the manufacture of consumer electronics grew by 3.9%, and the smaller one, the manufacture of communication equipment went up by 5.5%.

The manufacture of food products, beverages and tobacco products giving 11% of manufacturing declined by 0.5%. Within this, the largest group (representing 26% of the subsection), the processing and preserving meat and the production of meat products decreased by 1.6%, while the manufacture of tobacco products having the smallest weight rose at the highest rate of 10.7%. The processing and preserving fruit and vegetables showing a growth of 20% in the previous month fell the most by 10.6%.

The manufacture of coke, and refined petroleum products grew the most, by 18.2%, as a result of a significant growth in export sales, while domestic sales slightly decreased.

The manufacture of basic metals and fabricated metal products having medium weight rose by 11% continuing the growth of earlier months and the manufacture of rubber and plastics products, and other non-metallic mineral products went up by 8.9%, due to an increase in both domestic and export demand.

After stagnation in the previous month, the manufacture of pharmaceuticals, medicinal chemical and botanical products representing small weight grew year-on-year by 10.6%. The volume increased in both sales directions.

The manufacture of machinery and equipment n.e.c accounting for 6.3% of the manufacturing output rose by 7.4%. The volume of production grew in the great majority of classes, but a fall was recorded in the largest, in the manufacture of engines and turbines, except aircraft, vehicle and cycle engines (18.9%).

Changes in production in the major subsections of manufacturing, November 2017

(%)

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 products99.510.6
CGManufacture of rubber and plastics products, and other non-metallic mineral products108.98.1
CHManufacture of basic metals and fabricated metal products, except machinery and equipment111.08.2
CIManufacture of computer, electronic and optical products104.912.4
CKManufacture of machinery and equipment n.e.c.107.46.3
CLManufacture of transport equipment97.228.4

Along with a 3.0% increase in the number of employees, the labour productivity of industrial enterprises with 5 or more employees was 0.3% higher in November than in the same month of the previous year.

Industrial output declined year-on-year only in the region of Western Transdanubia (by 3.7%). The highest growth was observed in Southern Transdanubia (7.9%), whereas in the other regions volume increases of 3.6 to 7.3% were measured.

Total new orders in the observed subsections of manufacturing dropped by 7.9% compared to the same month of 2016. The volume of new domestic orders increased by 3.5%, while that of new export orders fell by 9.4%. The volume of total stock of orders was below the level of November 2016 by 14.1%.

In January–November 2017, compared to the same period of the previous year:

Industrial production went up by 5.2%. The volume of export sales representing 65% of all sales grew by 5.9%, while that of domestic sales accounting for 35% of all sales rose by 4.0%.

The labour productivity of industrial enterprises with 5 or more employees went up by 1.8% along with a 3.2% increase in the number of employees.

Industrial production rose in every region of Hungary. The largest volume growth was measured in Northern Great Plain (8.4%), while the lowest in Southern Great Plain (2.7%).