National industry
National industry records second consecutive drop: -0.6% in November
January 08, 2025 09h00 AM | Last Updated: January 09, 2025 03h54 PM
National industrial production dropped 0.6% from October to November, second consecutive month of decrease, with a cumulative loss of 0.8% in the period. Against November 2023, industrial production grew 1.7%, in the sixth consecutive month recording increase. Cumulative increases of 3.2% in the year and of 3.0%, in 12 month, were observed. With these results, industrial production is 1.8% above the pre-pandemic level (February 2020), but 15.1% below the record level reached in May 2011.
In the comparison between November and October 2024, in the series with seasonal adjustment, the activities accounting for the main negative influences were motor vehicles, trailers and bodies (-11.5%), and coke, petroleum products and biofuels (-3.5%). According to André Macedo, manager of PIM Brazil, the drop this month is related to a higher basis for comparison (due to the 2 previous positive results, when there was a cumulative increase of 12.7%), and to the overall loss affecting the main priducts in the sector (cars, trucks and car pieces).
“This activity, despite the drop of 11.5% this month, is still 14.2% above the level in the year of 2023," André Macedo explained.
The index of this month, differently from what had been observed a month ago, shows a predominance of negative rates, affecting the four broad economic categories and 19 of the 25 indutrial subsectors surveyed.
Among the economic categores, semi durable and non-durable goods recorded the highest negative rate (-2.8%).
“This segment was affected by drops in ethyl alcohol (due to harsh climate conditions that had an impact on harvests and the processing steps in company) and in items related to the food and beverages sector (beer, draft beer and soft drinks),” André Macedo points out.
Industry grows by 1.7% in the annual comparison, six monthly increase in a row
In comparison with November 2023, industrial production increased for the sixth consecutive increase (1.7%), but recordedt the lowest increase in this sequence. However, the monthly index keeps an overall profile of positive rates that reached three of the four broad economic categories and 18 of the 25 industrial subsectors surveyed. “It is worthy of mention that this month faced the calendar effect, as November 2024 had one business day less than the same month a year ago, and a lower basis for comparison than in preceding months, since, in November 2023, industrial activity grew by 1.4%.
As for the cumulative indicator in the year. the industry overall increased by 3.2%, and kept the movement of expansion throughout the year, with a predominance of positive rates. "This month marked the most widespread increase of this indicators, encopassing the four broad economic categories and 21 of the 25 subsectors surveyed.”
More about the survey
PIM Brazil has been producing short-term indicators since the 1970s regarding the behavior of the real product of mining and quarrying and manufacturing industries. March 2023 marked the beginning of the release of the new time series of monthly indexes of the industrial production, after a redesign to update the sample of activities, products and informants; create a new weighting structure of the indexes based on the most recent industrial statistics; update the base year of reference of the survey; and incorporate new Federation Units in the release of regional results of the survey. These methodological changes are required and aim at incorporating the economic transformations of society.
