In January, Brazil’s industrial sector faced a 1.6% decline in output compared to the previous month, indicating a challenge in the country’s economic landscape.
The Brazilian Institute of Geography and Statistics (IBGE) confirmed this downturn, aligning with predictions from financial market analysts.
Despite this setback, the annual comparison revealed a 3.6% growth, showcasing resilience with six straight positive outcomes.
Yearly industrial growth rose to 0.4% from 0.2% in December 2023, ending last year’s stability.
January’s growth touched 18 sectors, with notable rises in chemicals and electronics.
Intermediate goods dropped 2.4%, halting four months of gains. Semi- and non-durable goods fell 1%, the first drop since October 2023.
Yet durable goods and capital goods grew by 1.4% and 5.2%, respectively, demonstrating the industry’s dynamic mix.
Such sectoral shifts underline Brazil’s industrial complexity, spotlighting its varied economic prospects.
Background – Brazil’s Industrial Sector Faces January Downturn
2023 saw Brazil’s industrial output barely move, with just a 0.2% rise. This small upturn follows a 0.7% dip in 2022.
The Brazilian stats agency IBGE shared these findings on February 2, 2024. Despite the overall stagnation, this is an improvement from the previous year.
Growth occurred in several areas. Semi- and non-durable goods increased by 2.1%, while durable goods rose by 1.2%.
Intermediate goods increased by 0.4%. Yet, capital goods fell sharply by 11.1%. Some sectors did well. Extractive industries grew 7%.
The coke, petroleum, and biofuels sectors increased by 6.1%, and food products rose by 3.7%. However, 16 sectors saw declines.
More: Brazil news in English, every day from The Rio Times.
This article was produced by The Rio Times’ automated newsroom system. How we use AI · Report an error
Read More from The Rio Times