Industrial production registers drop of 0.6% in April

In comparison with the same month of last year, industrial production decreased by 2.7%. The index accumulated in the year fell by 1% and, in 12 months, shows a negative change of 0.2%.

According to the Brazilian Institute of Geography and Statistics (IBGE), which released, this Friday (2), data from the Monthly Industrial Survey (PIM), with these results, the industry is still 2% below the pre-pandemic level. (February 2020) and 18.5% below the highest point of the historical series, obtained in May 2011.

PIM manager André Macedo noted that unlike the last three months of last year, when there was an accumulated positive balance of 1.5%, at the beginning of 2023, there is a greater presence of negative results. “In April, we observed a greater spread of declines in industrial production, reaching 16 of the 25 industrial branches investigated. This greater spread of negative results has not been seen since October 2022 ”, he stressed, in a text published by the IBGE.

Segments

According to the survey, food products (-3.2%), machinery and equipment (-9.9%) and motor vehicles, trailers and bodies (-4.6%), were the main negative influences on the performance of the indicator in April. Among the three influences, the sector of food products was responsible for the greatest negative impact on this month’s result, having the fourth consecutive month of decline in production. In the period, the accumulated loss is 7.3%.

According to the manager, prior to the sequence of retractions, the sector had positive results for three consecutive months, which resulted in an accumulated gain of 20.2%, which for him still means a positive balance. “In April there was a great negative influence on the part of sugar production. This was directly related to a greater volume of rain, especially in the second half of the month, in the sugarcane producing regions of the Center-South region of the country”, he said, recalling that the drop was mitigated by the resumption of meat growth. of cattle, after being hit by restrictions on exports to China.

The machinery and equipment sector, with a drop of 9.9%, eliminated the 6.7% growth recorded in March. “This month, there was a widespread decline in its main groups”, pointed out the IBGE.

After registering zero variation in the months of February and March, the segment of motor vehicles, trailers and bodies had a reduction of 4.6%. “Automobiles and trucks, which are the items with the greatest weight in the activity, had a drop in production”, he added.

The manager pointed out that the segment is an example of the effects of maintaining interest rates at high levels, which causes higher prices and greater difficulty in granting credit. Industry and, in particular, the sector are still impacted by high default rates and higher household indebtedness. According to the researcher, these are not the only factors. As he revealed, the difficulty in obtaining electronic components for the sector remains. “As a result, there is a greater frequency of stoppages, reductions in working hours and collective vacations”, he concluded.

The negative influence on the indicator also extends to computer equipment, electronic and optical products (-9.4%), extractive industries (-1.1%), beverages (-3.6%), metal products (-3 .3%), other transport equipment (-5.2%) and electric machines, equipment and material (-2.9%).

On the other hand, among the nine activities that had an increase in production, the biggest positive impact in April came from the sector of coke, petroleum products and biofuels, which increased by 3.6%. “This is the third positive result in a row for the sector, a period in which it accumulated growth of 6.3%”, indicated the IBGE.

In the main economic categories, there were decreases in the sectors of capital goods (-11.5%) and durable consumer goods (-6.9%). The movement was different in semi and non-durable consumer goods, which recorded a rise of 1.1% and in intermediate goods with a gain of 0.4%. The first eliminated the accumulated loss of 0.6% from February to March and the second had expansion of 1.8% due to three consecutive months of increase in production.

Interannual comparison

In relation to April 2022, the industry recorded a drop of 2.7%, with negative results in 18 of the 25 surveyed branches. “The main negative influences came from chemical products (-12.2%), motor vehicles, trailers and bodies (-9.7%) and machinery and equipment (-14.3%)”, pointed out the IBGE.

There was also decrease in Computer equipment, electronic and optical products (-15.7%), metallurgy (-5.5%), electric machines, equipment and material (-12.2%), metal products (-8. 7%), non-metallic mineral products (-9.6%), beverages (-7.2%), apparel and accessories manufacturing (-9.9%) and wood products (-15.9% ).

The main positive influences came from coke, petroleum products and biofuels (3.2%) and pharmochemicals and pharmaceuticals (18.1%). The positive results were also noted in the branches of food products (2%), extractive industries (1.4%) and other transport equipment (19.2%).

Search

According to the IBGE, since the 1970s, PIM Brasil has produced short-term indicators, “relating to the behavior of the real output of extractive and manufacturing industries”.

After reformulation to update the sample of activities, products and informants, as of March 2023, the release of the new series of monthly industrial production indexes began. In addition, a new index weighting structure was prepared based on the most recent industrial statistics, the base year of the survey was updated and new federative units were incorporated in the dissemination of regional results.

The next release of industrial production will be on July 4th.