According to the Industrial Production Index prepared by Orlando Orlando J. Ferreres & Asociados, industrial production showed a monthly expansion in December.
In Decemberthe manufacturing industry experienced a rebound that helped mitigate the decline accumulated during the year. Experts predict that this positive trend will continue in the coming months.
This behavior was reflected by the Industrial Production Index (IPI-OJF)prepared by Orlando J. Ferreres & Asociados. According to the report, in the last month of 2024, industrial production grew by 4.5% in annual comparison, and in the seasonally adjusted measurement, it showed a monthly expansion of 0.4%.
Much of these figures are due to the good performance of the food sector, which showed positive results, while other sectors continue to experience declines. Despite this, in the accumulated of 2024, The fall was 6.2%, in a complicated year, where the first signs of recovery only began to be seen in recent months
Although December’s rise partly reflects the drastic drop from the same month of the previous year, The consulting firm also pointed out other positive comparisons: “The seasonally adjusted measurement shows an advance of 0.4% compared to November and a growth of 1.92% in the fourth quarter compared to the third, which highlights the recovery of the industry in recent years. months of the year,” they indicated.
By breaking down the sectors, andThe oil producer was the main driver of December’s positive result. Furthermore, it was observed a recovery in the machinery and equipment sectorwith an improvement in automotive production compared to December 2023.
On the other hand, the non-metallic mineral and base metal sectors showed a slowdown in the decline in their production, although specialists warned that the process is slow and there are no clear signs of recovery in these areas.
Regarding the prospects for 2025, there is a climate of optimism. “We hope that the industry’s recovery will be consolidated, especially driven by the improvement in private consumption, supported by a more orderly macroeconomic context,” they noted.
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Industry performance in December, sector by sector:
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Food, Drinks and Tobacco: The food sector closed the year with excellent results, driven mainly by oil production. However, the beverage and tobacco sectors recorded negative developments. As a whole, the sector grew by 19.8% in December, allowing the year to end with an increase of 9.7%, recovering from a drop of 9.3% in 2023.
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Machinery and Equipment: With year-on-year growth of 1.5%, the production of machinery and equipment marked its first and only rebound of the year in December, reflecting a recovery in activity in the sector. However, in the accumulated 2024, the contraction was 17.2%. In the automotive industry, December production was 2.8% higher than that of the same month in 2023, although total production for the year reached 506,571 units, which represents a decrease of 17.1%.
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Basic metals: The base metals sector recorded its best performance of 2024 in December, with a drop of 6.9% in annual comparison. Although production showed signs of improvement in recent months, the cumulative figure for the year closed with a drop of 20.1%.
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Non-metallic minerals: Non-metallic mineral production fell 13.0% in December compared to the same month last year, contributing to a cumulative contraction of 25.0% in 2024, making it the most affected sector of the year. Within this category, Portland cement production experienced a drop of 5.4% in December, although it showed a slowdown in the rate of decline compared to the previous months (November: -14.5% and October: -20.0 %).
Source: Ambito
