Mexico's Industrial Production Rises in August From July

 

 

 

 

 

 

 

 

 

 

 

 

 By Dow Jones Business News,  October 11, 2013

By Anthony Harrup

 

MEXICO CITY--Mexico's industrial production rose in August from the previous month, including in the struggling construction sector, in a positive sign for the country's third-quarter economic pickup.
The National Statistics Institute, or Inegi, said Friday that industrial output rose 0.49% from July in seasonally adjusted terms, with gains in manufacturing, construction, mining output and utilities.

The increased production in August still left output 0.7% below its level of August 2012, a slightly bigger drop than the 0.5% median estimate of 11 economists polled by Dow Jones Newswires.

The main drag on the country's industry this year has been the construction sector, which was hit by a slump in home building and government delays in carrying out infrastructure projects. Construction rose 0.44% from July but was down 5.1% from August 2012.

Manufacturing rose 0.37% from July and was up 1.6% from a year before, with higher production of items including autos, computers and clothing.

Improved external demand for Mexican manufactured goods and government spending on reconstruction after September's widespread flooding caused by two major storms are expected to contribute to a pickup in the economy in the second half of 2013, after gross domestic product contracted in the second quarter.