Euro Area Industrial Production Has Been at Low Levels Since July.

Industrial Production in the Euro Area Declines for 7 Months

The European Statistical Office (Eurostat) has released the August 2023 industrial production data. According to the published figures, seasonally adjusted industrial production in the Euro Area decreased by 1.2% compared to the previous month, falling to 97.7 points. In the European Union (EU) as a whole, this rate dropped by 1%, reaching 99.3 points.

The industrial production in the Euro Area has hit its lowest level since January 2025. Last month, the July industrial production was reported to have increased by 0.3%, which was revised to 0.5%.

Yearly Production Changes

When examined on an annual basis, an increase of 1.1% was observed in both the EU and the Euro Area. A closer look at the industrial production index by main industrial groups showed the most significant monthly decline occurred in capital goods and durable consumer goods. In contrast, only non-durable consumer goods recorded an increase.

Turkey's Increase in Industrial Production

Looking at industrial production by country, Ireland was the country with the largest increase, at 9.8%. Luxembourg followed with 4.8% and Sweden with 3.6%. The countries that saw the largest declines monthly were North Macedonia 8.2%, Montenegro 6.1%, and Malta 5.2%. Turkey also increased its industrial production by 0.5%.

In terms of annual production growth, Ireland took the lead with 28.6%, followed by Luxembourg 9.5% and Sweden 8.3%, while Turkey ranked as the 4th country in Europe with a 7.2% increase. The countries that experienced the most significant declines on an annual basis were Montenegro 29.4%, Bulgaria 8.6%, and Slovakia 6.3%.