Welder symbolizes the development of production in the manufacturing sector; Source: iStock.com/Tony Tremblay

© iStock.com/Tony Tremblay

According to the Federal Statistical Office, [1] output in the goods-producing sector fell by 0.3% in August compared with the preceding month. [2] Whilst industrial output (-0.1%) was virtually stable, construction output shrank by 1.8%. In the industrial sector, the fall in output of capital goods slowed to 0.7%. There were rises of 0.1% and 1.4% respectively in the production of intermediate and consumer goods.

In the two-month comparison, output in the goods-producing industry fell by 1.8% between May/June and July/August. Both industrial output (-2.2%) and output in the construction sector (-0.7%) fell in this period.

Generally, the goods-producing industry was sluggish in the summer months. As in July, this was most obvious in terms of slow industrial output and in the automotive sector in particular. Given a high level of existing orders and a pick-up in new orders, the upswing in industry is likely to resume again in the near future, especially as the backlog in type approvals of cars under the WLTP standard gradually disappears. The construction sector is continuing to work at nearly full capacity.

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[1] Press release by the Federal Statistical Office of 8 October 2018.
[2] All figures are based on provisional data and have been adjusted for price, calendar day and seasonal factors (X13 JDemetra+ procedure).