Regional industry
Industrial production decreases in nine of the 15 areas surveyed in November
January 14, 2025 09h00 AM | Last Updated: January 14, 2025 04h51 PM
From October to November, industrial production in Brazil decreased by 0.6%, with drops in nine of the 15 areas surveyed by the Regional Monthly Survey of Industry (Regional PIM). The main decreases were observed in Espírito Santo (-7.2%) and São Paulo (-4.7%). Against November 2023, industry grew by 1.7%, and 10 of the 18 areas surveyed recorded positive rates. The cumulative result in 12 months was up by 3.0%, and 17 of the 18 areas analyzed had positive figures, whereas the cumulative index in the year increased by 3.2%, with positive rates in 17 of the 18 areas surveyed as well. National industry is, therefore. 1.8% above the pre-pandemic level. Data were released today (14) by the IBGE.
“Industrial production in November had its second consective result, wth a cumulative loss of 0.8% in the period. In the month we observe the effects of macroeconomic factors that had a negative impact on the production chain. Acceleration of inflation, which afected supply and demand, and the subsequent rise of the interest rate, thus reducing investments of producers, inluenced the resut of industry," said Bernardo Almeida, analyst of Regional PIM.
The bad performance of industry in Espírito Santo (-7.2%) stood out in terms of absolute figures in November. It decreased for the second consecutive time, a period marked by a cumulative loss of 8,.4%. The secors of mining and quarrying and basic metals accouted for this result.
The main industrial plant in the country, São Paulo accouted for the main negative contribution to the result of national industry, 4.7%, from October to November. This performance is observed after two consecutive months with positive results, when there was a cumulative increase of 3.4%. “The sectors of petroelum products, food products, motor vehicles and chemicals were the ones affecting the dynamics of industry in the state. This is the main negative rate of industry in São Paulo since June 2023 (-5.4%), which left industry in the state 1.3% below the pre-pandemic level (February 2020) and 23.3% below the highest level, of March 2011.”
As for increases, Pará (4.4%), Amazonas (2.7%) and Pernambuco (2.6%) recorded the highest rates. The second consectutive positive result of industry in Paraná, with cumulative gain in 12.8% in the period, representing the mainchange and influence in November, took place due to the sector of non-metallic mineral products.
Industry grows in 10 of the 18 areas from 2023
The industrial sector recorded an increase of 1.7% Against November last year and, by area, 10 of the 18 ones recorded positive results. It is worthy of mention that, November 2024 (19 days) had one business day less than in the previous year (20). The biggest increases were those of Pará (17.7%), Mato Grosso (15.2%), Pernambuco (15.1%), Amazonas (13.5%) and Rio Grande do Norte (10.3%). Santa Catarina (7.1%), Ceará (5.2%), Paraná (4.9%) and Northeast Region (4.7%) also had positive rates above the national average (1.7%). Rio Grande do Sul (1.3%) was another area recording production increase in November 2024. With a null change (0.0%), Minas Gerais repeated the level observed in November 2023.
The main drops in November were those of Espírito Santo (-11.7%) and Rio de Janeiro (-8.3%). The explanation to this performance lies on the activities of mining and quarrying industry (crude oil and natural gas), in Espírito Santo, and of mining and quarrying industry (crude oil and natural gas) and coke, petroleum products and biofuels (LP gas, fuel oils, aviation kerosene and naphtha) in the industry of Rio de Janeiro. Maranhão (-4.8%), Mato Grosso do Sul (-3.2%), São Paulo (-2.7%), Goiás (-2.5%) and Bahia (-1,2%) also fell in this comparison.
More about the survey
Since the 1970s, Regional PIM has been producing short-term indicators regarding the behavior of the real output of mining and quarrying and manufacturing industries. It provides monthly indexes for 17 states whose participation is at least 0.5% of the total value of national industrial transformation, and for the Northeast as a whole: Amazonas, Pará, Maranhão, Ceará, Rio Grande do Norte, Pernambuco, Bahia, Minas Gerais, Espírito Santo, Rio de Janeiro, São Paulo, Paraná, Santa Catarina, Rio Grande do Sul, Mato Grosso do Sul, Mato Grosso, Goiás and the Northeast Region.
The survey results can also be consulted on Sidra, the IBGE database. The next release of the Regional PIM, for December 2024, is scheduled for February 11, 2025.
