Data published by the Federal Statistical Office (Destatis) showed that industrial production fell by 1.6% in December, recording the seventh monthly decline in a row and the steepest drop since March 2023. Meanwhile, the November decline was revised to -0.2% from -0.7%. Economists had expected a decline of 0.4%. In annual terms, industrial production fell by 3.0% in December, slowing compared to November (-4.3%). Meanwhile, over the last three months (through December), industrial production decreased by 1.8% compared to the previous three-month period. For the whole of 2023, industrial production fell by 1.5% compared to 2022, with the most significant declines recorded in energy-intensive industries and energy production
Destatis said that industrial production, excluding energy and construction, fell by 1.5% compared to November and by 3.7% per year. The chemical industry (-7.6% m/m) and construction sectors (-3.4% m/m) recorded the largest decline. However, the automotive industry saw a modest uptick in production (+4% m/m). The production of capital goods increased by 1.3% m/m and that of intermediate goods fell by 5.2% m/m. Meanwhile, the production of consumer goods decreased by 0.9% m/m. Outside industry, energy production increased by 4.1% m/m. Production in energy-intensive industries fell by 5.8% m/m and by 4.0% per annum.