Mercedes helps Hungary's industrial production

Hungary’s industrial production rose by 2.6% month on month in August, according to data adjusted seasonally and by working days, the Central Statistics Office (KSH) has reported on Friday. This comes after a 1.2% decline in July.

As the financial website portfolio.hu reports, Hungary’s industrial production was down 0.8% in annual terms in August as against. no change in July. The figure shows a 1.4% increase, which follows a 2.2% drop in the preceding month.

Industrial production in the first eight months of the year dipped by 0.4% yr/yr, more than in January-July (-0.3%).

"Industry output has been stuck around 2006 levels for some time now. In vehicle manufacturing the growth has been slower than before with the slowing dynamic continuing. If the trend is positive at all that is due only to the coming online of the Mercedes Benz factory in March. Without that we would surely see contraction," KSH statistician Miklós Schindele told Reuters.

"One other segment that recorded significant growth in August was crude oil processing, which had a low base from last year and a significant buildup this year. That boosted the headline figure somewhat," he added.