Industrial production increased by 5.4%
In December 2018, the volume of industrial output grew by 5.4% year-on-year. Based on working-day adjusted data production rose by 5.7%. In 2018, production volume was 3.6% higher than in 2017.
In December 2018:
The volume of industrial production increased by 5.4% year-on-year. (Compared to the December data of the first estimate, the data in the second estimate did not change.)
Industrial output – according to the seasonally and working-day adjusted index – was above the previous month’s level by 2.5%.
The volume of industrial export grew by 4.4% year-on-year. Within export sales in manufacturing, the 35% representing transport equipment export went up by 10.2%, while in the manufacture of computer, electronic and optical products, accounting for 17% of manufacturing export, the volume rose by 12.9%.
Industrial domestic sales increased by 7.2%, within it, domestic sales in manufacturing were 10.6% higher compared to the same month of the previous year.
Within industry, production grew by 5.0% in the decisive weight (93%) representing manufacturing, and it went up by 38% in the small weight representing mining and quarrying. The output of energy industry (electricity, gas, steam and air-conditioning supply) increased by 3.6%, mainly as a result of a much colder weather compared with the previous year (according to the Hungarian Meteorological Service the December 2018 average temperature was 1.4 (C lower than the December 2017 average).
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 the previous year = 100.0 | ||||||
| 2016 | 101.4 | 101.4 | 101.8 | 101.3 | 75.1 | |
| 2017 | 104.6 | 104.0 | 102.9 | 104.4 | 74.7 | |
| 2018 | January | 109.1 | 109.0 | 116.8 | 106.6 | 75.1 |
| February | 104.1 | 103.9 | 114.6 | 100.8 | 74.8 | |
| March | 98.1 | 98.1 | 103.4 | 96.4 | 74.3 | |
| April | 107.8 | 108.7 | 112.3 | 107.5 | 73.4 | |
| May | 100.7 | 99.7 | 107.3 | 97.2 | 72.8 | |
| June | 104.4 | 103.9 | 107.7 | 102.6 | 73.8 | |
| July | 106.4 | 106.5 | 112.3 | 104.3 | 71.5 | |
| August | 101.6 | 100.1 | 108.4 | 97.0 | 70.4 | |
| September | 98.6 | 96.4 | 106.9 | 92.8 | 71.8 | |
| October | 105.9 | 106.4 | 116.5 | 103.0 | 71.8 | |
| November | 104.1 | 104.6 | 113.0 | 101.6 | 71.7 | |
| December | 105.0 | 105.3 | 110.6 | 103.1 | 69.1 | |
| From the beginning of the year | 103.7 | 103.4 | 110.6 | 100.9 | 72.6 | |
The manufacture of transport equipment representing 27% of manufacturing output grew by 9.9% year-on-year. The manufacture of motor vehicles went up by 26%, the manufacture of parts and accessories for motor vehicles decreased by 4.7%. The higher performance level of the transport industry is also reflected in its orders indicators.
The manufacture of computer, electronic and optical products accounting for 13% of manufacturing grew at the highest rate among the subsections, by 17.9%. Out of the two most significant groups the manufacture of communication equipment rose by 35%, the manufacture of consumer electronics went up by 67%.
The manufacture of food products, beverages and tobacco products providing 12% of manufacturing increased by 3,0% compared to the same month of the previous year. Out of the groups the processing and preserving meat and the production of meat products representing the largest weight (25%) rose by 1.1%, while the manufacture of beverages, carrying the second largest weight, grew the most, by 13.1%. Decreases were recorded in four groups, out of these the smallest weight carrying manufacture of tobacco products dropped at the highest rate, by 9.2%.
The rate of growth slackened compared to the previous months in the medium-weight representing manufacture of rubber and plastics products, and other non-metallic mineral products: output went up by 7.6% in December. The manufacture of basic metals and fabricated metal products (the other subsection with similar weight) declined for the first time this year (by 0.4%).
After a ten-month setback the manufacture of machinery and equipment n.e.c rose by 1.1%, due to an increase in domestic sales. Export demand went down.
The decline has been lasting for five months in the manufacture of textiles, wearing apparel, leather and related products, representing the smallest weight: output dropped by 8.3% year-on-year in December, decreases were measured in both sales directions.
The manufacture of basic pharmaceutical products and pharmaceutical preparations fell the most by 10.8%, first of all owing to an unfavourable tendency in export sales.
Changes in production in the major subsections of manufacturing, December 2018
(%)
| Subsections | Volume indices of production, corresponding period of the previous year = 100.0 | Share of subsection within manufacturing at current prices | |
|---|---|---|---|
| code | denomination | ||
| CA | Manufacture of food products, beverages and tobacco products | 103.0 | 11.5 |
| CG | Manufacture of rubber and plastics products, and other non-metallic mineral products | 107.6 | 7.9 |
| CH | Manufacture of basic metals and fabricated metal products, except machinery and equipment | 99.6 | 8.3 |
| CI | Manufacture of computer, electronic and optical products | 117.9 | 12.7 |
| CK | Manufacture of machinery and equipment n.e.c. | 101.1 | 6.2 |
| CL | Manufacture of transport equipment | 109.9 | 27.1 |
Labour productivity, by a 3.3% increase in the number of employees of industrial enterprises with 5 or more employees, was 1.6% higher in December than in the same month of the previous year.
The production fell only in Northern Hungary, by 3.0%, while in the other regions volume increases between 1.1 and 10.8% were measured.
Total new orders volume in the observed subsections of manufacturing rose by 1.3% compared to the December 2017 data. New domestic orders volume grew by 3.9%, new export orders went up by 1.1%. The volume of total stock of orders was above the level of December 2017 by 7.2%.
In 2018, compared to the previous year:
Industrial production rose by 3.6%, following the previous year's 4.6% increase. Within this, out of the three sections output in manufacturing was 3.7% higher, in the energy industry declined by 3.3%, and grew by 54% in the low weight representing mining and quarrying compared to 2017.
The level of production in manufacturing, at current prices was close to HUF 31 thousand billion in 2018. Only during two months did not exceed production level that of the previous year. The greatest growth was in January (9.1%). Out of the thirteen subsections of manufacturing decreases were recorded in five, volume increases of 4.9% to 14.9% were recorded in all others. Out of the three largest subsections the manufacture of transport equipment, considered to be the most significant, production practically stagnated (99.9%), at the same time the manufacture of computer, electronic and optical products rose by 6.8%, and that of food products, beverages and tobacco products went up by 4.9%.
Industrial export sales grew year-on-year by 1.4% (in 2017, we measured a 5.1% volume increase). Exports accounted for 63% of total industrial sales and for 73% of manufacturing sales. Manufacturing exports rose by 0.9% compared to the previous year. Two manufacturing subsections gave more than half of all export sales. The export volume of transport equipment representing 35% of manufacturing exports dropped by 2.2%, in contrast, the second largest subsection (representing 16%): the manufacture of computer, electronic and optical products went up by 6.6% in export volume (with a decrease in its export volume in March only).
Industrial domestic sales grew by 6.8%, and within it the domestic sales of manufacturing rose by 10.6%. Domestic sales increased by 6.2% in the manufacture of food products, beverages and tobacco products accounting for 24% of domestic manufacturing sales. Domestic sales of coke and refined products accounting for 13.5% of domestic manufacturing (second largest subsection): went up by 14.2 % in 2018 (they declined by 1.9% in 2017).
Labour productivity of industrial enterprises with 5 or more employees rose by 0.1% along with a 3.4% increase in the number of employees.
Industrial production grew in every region compared to the previous year. The largest volume growth (9.5%) was recorded in Pest region; we measured volume increases between 0.5 and 7.7% in all other regions.