Brazilian industrial production closed 2021 with an increase of 3.9%

RIO DE JANEIRO, BRAZIL – In December 2021, Brazil’s industrial production increased 2.9% compared to November, free of seasonal influences. In the previous month, the zero variation (0%) had interrupted five consecutive months of falling production, a period in which it accumulated a loss of 3.3%.

Compared to December 2020, the industry fell 5%, the fifth negative rate in this type of comparison. In the year, the sector increased 3.9%, interrupting two consecutive years of decline: 2019 (-1.1%) and 2020 (-4.5%).

In the 2.9% increase in industrial activity, from November to December, the four major economic categories and 20 of the 26 branches surveyed showed growth in production.

VEHICLE PRODUCTION ADVANCED BY 12.2% IN DECEMBER 2021

The most significant positive influences came from motor vehicles, trailers and bodies (12.2%), and food products (2.9%).

Other relevant positive contributions came from computer equipment, electronic, and optical products (12.0%); metallurgy (3.8%); extractive industries (1.6%); non-metallic mineral products (2.0%); machinery and equipment (1.3%); pulp, paper, and paper products (1.7%); and leather, travel goods, and footwear (4.5%).

On the other hand, among the five activities that fell, pharma chemicals and pharmaceuticals (-6.9%) had a major negative impact in December 2021.

Among the main economic categories, the most significant expansions compared to November were recorded by durable consumer goods (6.9%), accumulating 8.1% in two consecutive months of growth, and capital goods (4.4%), eliminating the 2.4% loss recorded in the previous month. The sectors producing semi- and non-durable consumer goods (1.5%) and intermediate goods (1.2%) also showed growth this month.

INDUSTRY FELL 5% COMPARED TO DECEMBER 2020

Compared to December 2020, industry fell 5%, with negative results in three of the four major economic categories, 20 of the 26 branches, 57 of the 79 groupings and 64.8% of the 805 products investigated.

Among activities, the main negative influences were: metallurgy (-13.9%), rubber products and plastic materials (-19.9%), and metal products (-19.1%).

Also noteworthy were the negative contributions of the apparel and accessories (-29.5%); automotive vehicles, trailers, and bodies (-5.9%); machinery, appliances, and electrical materials (-20.0%); textile products (-27.0%); pharma chemicals and pharmaceuticals (-18, 8%); furniture (-25.8%); leather, travel goods, and footwear (-19.5%); information technology, electronic, and optical products (-10.6%); beverages (-4.3%); maintenance, repair, and installation of machinery and equipment (-17.4%); and perfumery, soaps, cleaning, and hygiene products (-8.8%).

SECTOR ACCUMULATED EXPANSION OF 3.9% IN THE YEAR

In the year-to-date, compared to the same period of the previous year, the industrial sector showed an expansion of 3.9%, with positive results in three of the four major economic categories, 18 of the 26 branches, 50 of the 79 groups and 62.4% of the 805 products surveyed.

Among the activities, motor vehicles, trailers and bodywork (20.3%), machinery and equipment (24.1%), and metallurgy (15.4%) exerted the main positive influences.

Other positive contributions came from the branches of non-metallic mineral products (14.0%); other chemical products (5.7%); clothing and accessories (10.9%); metal products (5.2%); rubber and plastic products (4.3%); wood products (12.1%); pulp, paper, and paper products (3.5%); extractive industries (1.1%); other transport equipment (15.6%); textile products (8.5%); miscellaneous products (11.5%); and machinery, appliances, and electrical equipment (4.4%).

With information from IBGE