Industrial output in Germany declined for the second straight month in September as a slowdown in China and other emerging markets took its toll.
Advertisement
Production declined 0.4% quarter-on-quarter in the three months to the end of September, while total production grew 0.2% over the period. Mining and quarrying was the largest contributor to this, increasing 8.6 per cent.
German industrial output posted its steepest drop in more than a year in September, suggesting Europe’s biggest economy may feel a year-end chill from a slowdown in emerging markets.
“There do look to be a few grounds for hope for manufacturers on the domestic demand front and manufacturers should at least be helped by markedly falling input costs which increases their ability to price competitively”, pointed out Howard Archer, chief European and United Kingdom economist at IHS Economics.
Industrial output declined by 1.4% year-on-year once the contributions from energy and construction are stripped out. “Business confidence in the industry remains good and speaks in favour of a temporary weak phase”. “Companies have reined in production somewhat in light of the modest development of manufacturing orders in the third quarter”. Pic: Robert Botha. 17/2/06.
Advertisement
Industrial production dropped 0.2% in September from August, when it was up 0.9%.
