Manufacturing production in May 2024 experienced a significant decline compared to May 2023. Seasonally adjusted data also showed a month-on-month decrease. The downturn was felt across various manufacturing divisions, with notable negative contributions from basic iron, steel, and motor vehicles.
Key Highlights:
- Manufacturing production down by 0.6% in May 2024 vs. May 2023.
- Seasonally adjusted production fell 3.2% in May 2024 vs. April 2024.
- Manufacturing sales decreased by 3.5% in May 2024 vs. April 2024.
Detailed Analysis
Production Decline
In May 2024, manufacturing production decreased by 0.6% compared to May 2023. The largest negative contributions came from:
- Basic Iron and Steel, Non-Ferrous Metal Products, Metal Products, and Machinery: Declined by 8.1%, contributing -1.8 percentage points.
- Motor Vehicles, Parts and Accessories, and Other Transport Equipment: Dropped by 11.8%, contributing -1.2 percentage points.
Table: Largest Negative Contributions to Manufacturing Production (May 2024)
| Division | % Change | Contribution (percentage points) |
|---|---|---|
| Basic Iron and Steel, Non-Ferrous Metal Products, Metal Products, and Machinery | -8.1% | -1.8 |
| Motor Vehicles, Parts and Accessories, and Other Transport Equipment | -11.8% | -1.2 |
Seasonally adjusted manufacturing production fell by 3.2% in May 2024 compared to April 2024. This followed a 5.2% increase in April 2024 and a 2.3% decrease in March 2024.
Table: Monthly Changes in Seasonally Adjusted Manufacturing Production
| Month | % Change |
|---|---|
| March 2024 | -2.3% |
| April 2024 | 5.2% |
| May 2024 | -3.2% |
Three-Month Overview
In the three months ending in May 2024, seasonally adjusted manufacturing production decreased by 0.4% compared to the previous three months. Seven of the ten manufacturing divisions reported negative growth rates during this period.
Table: Three-Month Manufacturing Production Change
| Division | % Change | Contribution (percentage points) |
|---|---|---|
| Motor Vehicles, Parts and Accessories, and Other Transport Equipment | -4.3% | -0.4 |
| Petroleum, Chemical Products, Rubber, and Plastic Products | -0.9% | -0.2 |
| Glass and Non-Metallic Mineral Products | -5.1% | -0.2 |
The food and beverages division made the largest positive contribution, with a 2.0% increase, contributing 0.5 percentage points.
Sales Decline
Seasonally adjusted manufacturing sales decreased by 3.5% in May 2024 compared to April 2024. This followed a 5.8% increase in April 2024 and a 2.5% decrease in March 2024.
Table: Monthly Changes in Seasonally Adjusted Manufacturing Sales
| Month | % Change |
|---|---|
| March 2024 | -2.5% |
| April 2024 | 5.8% |
| May 2024 | -3.5% |
Three-Month Sales Analysis
Seasonally adjusted manufacturing sales increased by 0.1% in the three months ending in May 2024 compared to the previous three months.
The food and beverages division made the largest positive contribution, with a 3.6% increase, contributing 0.8 percentage points. Conversely, the motor vehicles, parts and accessories, and other transport equipment division made the largest negative contribution, with a 3.1% decrease, contributing -0.5 percentage points.
Table: Three-Month Manufacturing Sales Change
| Division | % Change | Contribution (percentage points) |
|---|---|---|
| Food and Beverages | 3.6% | 0.8 |
| Motor Vehicles, Parts and Accessories, and Other Transport Equipment | -3.1% | -0.5 |
Conclusion
May 2024 saw a challenging environment for the manufacturing sector. Both production and sales faced declines, influenced by various factors across key divisions. The data indicates a need for strategic adjustments to address the negative trends and bolster the sector’s recovery. The food and beverages division remains a bright spot, contributing positively amidst the downturn.
