Source:Insee

10 FEBRUARY 2012

Industrial output dipped -1.4% in December month-on-month and equally manufacturing as demand slowed down from industrialists on renewed uncertainties due to a series of sovereign downgrade warnings in the Euro area and including the region's bail-out fund, the European Financial Stability Facility (EFSF), on top of A-list banks downgrade triggered by their recapitalization obligations and a major Credit Rating Agency's skepticism on their ability to sustain their respective Greek debt exposures. 

Feeble consumer demand pushed down the Food and Agriculture Industry production index by 1.2%, and dragged down Non Durable Consumer Goods by -1%. The production of Durable Goods dropped -6.4% dented by the automobile industry -1.4% output gap while Capital Goods -1.9% reflected machinery and equipment -2.8% production decline. Intermediate Goods mirrored these negative trends and fell -0.9% with the production of IT products electronic and optical goods -4.6% drop, followed by each metal-metallic products and the chemical industry -1.2% dip along with rubber-plastic goods -0.8% and textile-clothing -2.9%. The coke and refinery production index rose a modest +0.6% due to mild weather and slow industrial momentum while the pharmaceutical industry, an increasingly import-led sector, saw output edge up +0.3%. 

In one year, overall output turned negative -1.3% while manufacturing rose +0.8%, the index feeblest annual performance since 2010. 
Capital Goods production index climbed +2.2% but Intermediate Goods dropped -0.3% due to  higher than average stock levels. The production of Durable Consumer Goods fell -2.2% and Non Durable moved down by over one percentage point to +1.7%. Output of other transport equipment performed best and jumped +14.2% thanks to sustained Airbus aircraft deliveries while inversely the auto industry's gauge dropped -8.4%.Out of Non Durable Consumer Goods, the Food and Agriculture production index rose +2.9% while textile-leather plunged  -10.7%, its seventh consecutive contraction and constantly in decline. The pharmaceutical industry output index grew +.2%1 one of the index few components on the rise, ahead of seasonal bugs however rather than actual demand.