Sourec:Insee

10 NOVEMBER 2011

INDUSTRIAL OUTPUT moved into negative territory and fell -1.7% month-on-month pushed down by manufacturing -1.6% decline following the summer months uneven momentum. The production of Durable Consumer Goods led the trend and fell -3.8% pushed down by Capital Goods -2.8% as transport equipment and the automobile industry each underperformed, respectively -0.2% and -7.2% due to lesser domestic and foreign demand. The production of machinery and equipment equally dipped, -4.3%, while by contrast other transport equipment (mainly aerospace, railway equipment, cycles and motorcycles) picked up +9.1% following summer, offsetting a stronger overall decline.

The production of Intermediate Goods, by ricochet, followed the Capital Goods patter and decreased by 2.2% as output of electric-electronic equipment fell -3.1% along with electronic equipment -1.9%, and wood-paper-cardboard -3.1% due to lesser orders for packaging. Feeble demand also affected output of optical equipment, in negative territory for the second consecutive month to -2.7%, followed by rubber-plastic goods -3.8% and consequently chemical industry products -2.6% while metal-metallic products -1.5% mirrored the auto industry pause.  Textile-leather output index remained the exception, up 3.7% by anticipation for the Winter sales period. Intermediate Goods activities are likely to pick up however in the next two months to supply demand for electronic components for the September month transport equipment and machinery momentum.

Output of Non Durable Consumer Goods rebounded +0.6% aided by pharmaceutical products +0.6% since output of food and agriculture products stayed flat. Other manufactured products output index consequently fell -1.9% in synch with the general slow down.

The coke and refinery activities production index dipped -1.3% due to lesser demand as unusually warm weather, the hottest September month in the last 50 years according to the national weather agency Météo France, pushed down demand in addition to slower industrialists activities.

Compared with the previous quarter however, overall output turned positive and rose +0.8% and manufacturing surged +0.5% thanks to Capital Goods +1.8% and Durable Goods +3%. Output of Intermediate Goods moved up -0.3% on the same quarterly period while Non Durable slowed down to +0.3%
 
In one year, overall output moved down by half to +2.3% (compared with +4.5% year-on-year in August) and manufacturing by two percentage points to +3.4%. The production of coke and refinery mechanically moved down to -11.2%. 

Output of Capital Goods slowed down to +3.3% and Intermediate Goods +2.1%. Inversely, the production of Durable Consumer Goods rose +4.4% pushed up by machinery and equipment +5.4%, and other transport equipment +5.8%. Non Durable Consumer Goods output index jumped +5.7% boosted by pharmaceutical products +10.4% and the food and agricultural industry +4.4% as textile-clothing contracted for the fourth consecutive period and dipped -6%. The automobile industry production index fell -1.6% and dragged output of metal-metallic products to +3.5%.