Industrial output growth slows down further

29.06.2012, 10:59

According to Statistics Estonia, in May 2012, the production of industrial enterprises decreased by 1% compared to the same month of the previous year. In the manufacturing the decrease was 0.4%.

A small growth which took place at the beginning of 2012 in manufacturing was replaced with a decline in March and April, when the production of manufacturing decreased nearly 5% in both months compared to the same month of the previous year.

In May the decrease was 0.4% compared to May of the previous year. The main reason for the decline was the high comparison basis in the manufacturing of electronic products – this effect will last during the 2nd quarter as well. The reduction of demand on the external market also influenced the manufacturing negatively – the export sales decreased 2% compared to May of the previous year. The share of export sales accounted for 70% of the total production of manufacturing in May.

In May, the production did not exceed the volume of the same month of the previous year in half branches of industry. Among the branches of industry holding larger shares, the production in the manufacture of metal products, electronic and chemical products fell by 19%, 4% and 2%, respectively.

In May 2012 compared to April 2012, the seasonally adjusted total industrial production as well as the production in manufacturing increased by 1%.