Industrial production decreased by 1.2%
In December 2019, the volume of industrial production declined by 1.2% year-on-year. Based on working-day adjusted data, production dropped by 3.7%. In 2019, the volume of production was 5.4% higher compared to 2018.
In December 2019:
The volume of industrial production decreased by 1.2% year-on-year. (Compared to the December data published in the first estimate, the data in the second estimate did not change.)
Industrial output in December – according to seasonally and working-day adjusted indices – was 3.8% below the level of the previous month.
The volume of industrial export declined by 1.4% year-on-year. Transport equipment export, representing a 32% weight within export sales in manufacturing, dropped by 10.1%; while the export in manufacture of computer, electronic and optical products accounting for an 18% weight rose by 4.9%.
Industrial domestic sales increased by 1.6%, including a 3.0% rise in domestic manufacturing sales compared to the same month of the previous year.
Production decreased in all three sections of industry: by 1.4% in manufacturing representing a decisive weight (94%), by 0.9% in energy industry (electricity, gas, steam and air-conditioning supply) and by 4.8% 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 | ||||||
| 2017 | 104.6 | 104.0 | 102.9 | 104.4 | 74.7 | |
| 2018 | 103.5 | 103.2 | 109.2 | 101.1 | 72.9 | |
| 2019 | January | 103.8 | 106.0 | 108.0 | 105.4 | 74.7 |
| February | 106.9 | 107.4 | 108.0 | 107.2 | 74.4 | |
| March | 108.0 | 108.2 | 109.1 | 107.9 | 73.6 | |
| April | 106.1 | 105.7 | 111.4 | 103.6 | 71.5 | |
| May | 109.2 | 108.2 | 108.1 | 108.3 | 72.4 | |
| June | 98.0 | 99.6 | 100.7 | 99.2 | 73.0 | |
| July | 112.2 | 113.2 | 116.3 | 112.0 | 70.9 | |
| August | 100.2 | 101.9 | 100.2 | 102.6 | 71.2 | |
| September | 111.8 | 114.4 | 110.5 | 115.9 | 73.4 | |
| October | 106.1 | 108.1 | 105.2 | 109.3 | 73.0 | |
| November | 104.0 | 102.3 | 101.6 | 102.5 | 72.0 | |
| December | 98.6 | 100.6 | 103.0 | 99.5 | 68.2 | |
| From the beginning of the year | 105.5 | 106.3 | 106.7 | 106.2 | 72.4 | |
There was a drop after a 14-month increase in the largest weight representing manufacture of transport equipment accounting for 25% of manufacturing: in December the output was 10.4% lower than a year ago (this was the greatest fall among the sections). The volume of motor vehicles manufacturing declined by 19.5%, while the manufacture of parts and accessories for motor vehicles decreased by 0.7%.
The manufacture of computer, electronic and optical products accounting for 13% of manufacturing grew by 1.4%. Out of the two most significant groups, the manufacture of consumer electronics rose by 0.4%, the manufacture of communication equipment went up by 1.7%.
The manufacture of food products, beverages and tobacco products having a 12% share of manufacturing increased by 3.3% compared to the same month of the previous year, due to an expansion in exports, while domestic sales declined. Of the groups, the processing and preserving meat and the production of meat products, representing the largest weight (28%) went up by 6.1%, while the small weight carrying manufacture of tobacco products grew the most, by 24%. Decreases were recorded in two groups only: in the manufacture of beverages (by 3.6%), and in the manufacture of prepared animal feeds (by 1.4%).
The two medium-weight representing subsections performed below the level of the previous year: the manufacture of rubber and plastics products, and other non-metallic mineral products declined by 1.9%, the manufacture of basic metals and fabricated metal products dropped by 10.2%.
The manufacture of electrical equipment having a smaller weight grew at the highest rate among the subsections, by 28%, due to a favourable tendency in both domestic and export sales.
The manufacture of coke, and refined petroleum products went up by 14.7%, which was also influenced by the low base effect.
The decline was almost the same in the manufacture of textiles, wearing apparel, leather and related products (7.3%) as well as in that of machinery and equipment n.e.c. (7.1%), with the latter decreasing in almost every class.
Changes in production in the major subsections of manufacturing, December 2019
(%)
| 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 | 103.3 | 12.2 |
| CG | Manufacture of rubber and plastics products, and other non-metallic mineral products | 98.1 | 7.8 |
| CH | Manufacture of basic metals and fabricated metal products, except machinery and equipment | 89.8 | 7.5 |
| CI | Manufacture of computer, electronic and optical products | 101.4 | 12.8 |
| CK | Manufacture of machinery and equipment n.e.c. | 92.9 | 5.7 |
| CL | Manufacture of transport equipment | 89.6 | 25.3 |
Industrial production grew in the Pest region (9.5%), Northern Great Plain (6.6%) and Budapest (4.0%). In the other regions, volume decreases of 1.0% to 8.4% were recorded, the highest in Western Transdanubia.
Total new orders volume in the observed divisions of manufacturing grew by 6.7% compared to December 2018. New domestic orders volume rose by 10.1%, new export orders went up by 6.4%. The total stock of orders at the end of December was below the previous year’s level by 1.7%.
In 2019, compared to the previous year:
Industrial production rose by 5.4%, following a 3.5% increase a year earlier. Within this, out of the three sections, output grew by 5.5% in manufacturing, by 1.1% in energy industry and by 20.1% in the low weight representing mining and quarrying compared to 2018.
In manufacturing, production value at current prices was close to HUF 33 thousand billion in 2019. There were only two months when the level of production did not grew year-on-year. The greatest growth was in July (12.2%). In three of the thirteen subsections of manufacturing, the volume of production decreased, while in the others the volume increased by 1.4% to 14.3%. Out of the three largest subsections, the manufacture of transport equipment, considered to be the most significant, went up by 9.8%, the manufacture of computer, electronic and optical products grew by 6.8%, while the manufacture of food products, beverages and tobacco products rose by 5.2%.
Industrial export sales increased year-on-year by 6.3% (in 2018, we measured a 1.6% volume increase). Exports accounted for 63% of total industrial sales and for 72% of manufacturing sales. Manufacturing exports rose by 6.2% compared to the previous year. Two manufacturing subsections gave more than half of all export sales. The export volume of transport equipment representing 36% of manufacturing exports went up by 11.4% (although a decline was measured in the last two months of the year), the second largest subsection (accounting for 16%), the manufacture of computer, electronic and optical products grew by 8.4% in export volume.
Industrial domestic sales grew by 5.3%, including a 6.7% rise in domestic sales of manufacturing. Domestic sales increased by 2.8% in the manufacture of food products, beverages and tobacco products representing 23% of domestic manufacturing sales. Domestic sales of the manufacture of rubber and plastics products, and other non-metallic mineral products accounting for 13% of domestic manufacturing (second largest subsection) went up by 6.7 % in 2019.
Industrial production rose in every region of Hungary, the largest volume growth was measured in Pest region (10.1%), the lowest in Northern Hungary (0.1%).