Despite Fears, Industrial Production Grows for the Fourth Month in a Row in Brazil

Brazzil Magazine covers

Industrial production in Brazil grew 1.6% in June, in comparison with May. This was the fourth increase in a row in the month-to-month comparison. The increase was 6.3% in relation to June, 2004.

The Monthly Industrial Survey released today (5) by the Brazilian Institute of Geography and Statistics (IBGE) also shows that the growth of the sector amounted to 5.0% in the first half of this year and 6.7% over the last 12 months, below the 7.3% registered in May for the previous 12-month period.


According to the Institute, the data confirm that industrial expansion is based on the durable consumer goods segment, led by production increases in automobiles, home appliances, and cell phones.


This segment, according to the IBGE, has benefited the most from the rise in exports and continuity in credit growth. It was the segment that grew the most in June, at a rate of 8.1%.


Production of capital goods (machinery and equipment) grew 4.2%. Intermediate goods (inputs) were up 0.9%. The semi-durable and non-durable consumer goods segment (food, beverages, clothing, footwear, and medicine), which depends upon the evolution of the salary mass, grew only 0.7%.


Among the 23 activities surveyed, 18 evidenced expansion between May and June. The standouts were automotive vehicles (8.0%) and electronic material and communications equipment (7.1%).


The greatest negative impact came from petroleum refining and alcohol production (-2.7%) and other chemical products (-2.0%).


Agência Brasil

Tags:

You May Also Like

Brazzil Magazine covers

Brazilian Airline Gol Zooms Up with 70% More Passengers

Brazil's airline company Gol in January increased the number of passengers it transported by ...

Brazzil Magazine covers

Brazil Might Be Big, But It Is Only Great in a Soccer Field

It’s just past five o’clock on a cold, dark afternoon in central London. Inside ...

Brazzil Magazine covers

Brazilian Hands Weave the Sheets the Pope Will Sleep on in Brazil

In the hands of four embroiderers from Potim, a city with 14,000 inhabitants in ...

Brazzil Magazine covers

Brazil Discovers the World of Open Capital and Is Making Money

The number of Brazilian companies that opened their capital between 2004 and March this ...

Brazzil Magazine covers

Brazil’s Prosecutor’s Office Confirms Existence of Vote-Buying Scheme in Congress

In an investigation that ran parallel to the Parliamentary Investigative Commissions (CPIs), the country’s ...

Brazzil Magazine covers

Left Marches Against Lula and Vows to Stop Brazil with Strikes

Carrying banners and flags, demonstrators taking part in the March against Corruption and the ...