The regional indicators of industrial production expanded in 13 among 14 surveyed localities, in the closure of the first semester of 2005, compared to the same period of the previous year. With an increase above the 5.0% registered in the total of the Country, were the industries of the states of Amazonas (20.2%), Paraná (8.0%), Minas Gerais (7.7%), Goiás (6.9%), Santa Catarina (6.5%), São Paulo (6.3%), Ceará (6.1%) and Pará (5.2%). In these states stood out mainly the items mobile telephony; automobiles; soy "pellets"; truck bodies; remedies; long pants for feminine use; and iron minerals, respectively. Also with increase in the level of production, although below the national level were the following: Northeast (4.6%), Espírito Santo (3.2%), Bahia (2.3%) and Pernambuco (1.9%). Only Rio Grande do Sul (-3.1%) indicated a negative result in this type of comparison, with the main pressure concentrated in machines and equipment, due to the unfavorable scenario, since the beginning, of the agricultural sector.

The acceleration in the productive rhythm, observed in national level from the first quarter of 2005 (3.9%) to the second one (6.1%), in the comparison with equal quarters of 2004, was observed also in the majority (nine) among 14 surveyed localities. The localities where the industrial rhythm more increased between these two periods were the following: Amazonas, where the rate passed from 14.0% to 25.6%, followed by Paraná (from 4.8% to 11.1%) and Goiás (from 3.8% to 9.8%). The good performance of productive activities of durable consumer goods and the higher dynamism of exports explain the behavior of these industries.

In relation to the results in June, compared to the same month of 2004, the scenario was also positive, once nine out of 14 surveyed localities recorded expansion. The positive rates changed between 29.8% in Amazonas and 1.0% in Pernambuco. In the other localities the positive results came from Paraná (15.9%), Goiás (10.6%), Minas Gerais (10.4%), São Paulo (8.0%), Pará (6.5%), Ceará (2.5%) and Santa Catarina (2.5%). Presenting decrease in this type of comparison we may find Rio de Janeiro (-1.5%), Northeast region (-1.6%), Bahia (-2.2%), Rio Grande do Sul (-2.2%) and Espírito Santo (-2.7%).

Amazonas

In June, the industry of Amazonas presented two digits growing rates, in the main indicators: 29.8% in the monthly, 20.2% in the accumulated in the year and 14.3% in the accumulated of the last twelve months. The major production of durable consumer goods, with strong connection with the foreign demand, was the main responsible factor for the behavior of the industrial activity of Amazonas.

In the comparison with the same month of the previous year, seven among 11 activities which compose the industrial structure of Amazonas contributed positively to the formation of the overall rate (29.8%), especially, regarding participation, electronic material and communication equipment (59.3%), followed by food products and beverages (32.6%) and other transport equipment (26.5%). On the other hand, four sectors presented fall in the production, with rubber and plastic (-24.9%) and petroleum refining and alcohol production (-13.8%) representing the main negative impacts.

In the comparison between the indexes of the first (14.0%) and second semester (25.6%) there was a considerable acceleration mainly due to the results observed in electronic material and communication equipment (from 31.4% to 50.1%) and in other transport equipment (from 9.1% to 17.2%). The industry remains in expansive trend since the fourth quarter of the previous year and the value 25.6% calculated in April-June 2005 represented the highest rate of the series of this indicator which began in 2003.

In the closure of the first semester of the year, expansion of 20.2% was recorded. Eight segments presented positive participation in this result, being that the influence of electronic material and communication equipment (42.1%) stood out from the rest, sustained mainly by the exports of mobile telephones. In a lower degree, stood out food products and beverages (14.9%) and other transport equipment (13.4%). On the other hand, rubber and plastic (-23.0%) and petroleum refining and alcohol production (-7.3%) were the main negative influences.

Pará

The industry of Pará, in June, grew 6.5% compared to the same month of the previous year. Also recorded expansion the indicators for larger periods: 5.2% in the accumulated index of the year and 8.7% in the accumulated index of the last twelve months.

In the comparison June 05/ June 04, the increase of 6.5% in the industry of Pará was determined basically, by the performance of the mining sector (20.0%), followed by basic metal products (1.3%). On the other hand, cellulose and paper (-16.1%) and wood (-5.3%) brought the main negative pressures in the overall index.

The evolution of the manufacturing activity of the state increased in the second quarter (5.8%) in relation to the rhythm observed in the first quarter (4.6%). This performance occurred mainly, due to the growth of the mining and quarrying industry, whose increase passed from 8.9% to 16.2% between the two mentioned quarters.

The mining and quarrying industry (12.7%) was also the main responsible for the behavior of the industry of Pará in the first semester of the year, with hike of 5.2%. It can also be stressed the positive impact which came from basic metal products (4.0%). On the other hand, the major negative contributions in the overall index were observed in the segments of cellulose and paper (-8.1%) and non- metallic minerals (-7.8%).

Northeast

In June, the industry of the Northeast region registered fall of 1.6% in the comparison with June 2004 while in the other indicators presented positive results: 4.6% in the accumulated in the year and 7.0% in the accumulated in the last twelve months.

The decrease of 1.6% in the comparison with June 2004 broke a sequence of sixteen months of growth in this type of indicator. Among the 11 surveyed activities, six fell. The main negative influences occurred in chemical products (-5.2%) and petroleum refining and alcohol production (-5.4%). On the other hand, food products and beverages (3.8%) and non-metallic minerals (15.2%) figured among the main positive impacts.

In the second quarter of 2005 (2.1%) a rate considerably lower than the one observed in the first quarter (7.1%) was recorded (both the comparisons relatively to the same quarters of 2004). This decreasing trend in the rhythm of expansion in the industry of the Northeast occurred mainly due to the lower growth observed in food products and beverages, which passed from 9.8% in January-March to 5.0% in the following quarter, chemical products (from 8.8% to 3.6%) and petroleum refining and alcohol production (from 2.4% to –3.,0%).

The Northeast region closed the first semester with expansion of 4.6%, compared to the same period of the previous year. The majority (eight) among 11 surveyed activities increased. The industries of food products and beverages (7.6%) and chemical products (6.1%) were the ones that contributed with the major impacts in the overall result.

Ceará

In June, the industry of Ceará continued growing, recording a rate of 2.5% in relation to the same month of the previous year. The indicators for larger periods were also positive: 6.1% in the accumulated in the year and 12.6% in the accumulated of the last twelve months.

In relation to June 2004, the industrial production of the state increased 2.5%, with six activities increasing, three falling and one indicating no change (textile sector). The major positive contribution came from non-metallic minerals (86.7%). On the other hand, the main negative contributions came from food products and beverages (-1.9%) and apparel (-5.6%).

In the quarterly analysis, the industry of the state increased in the rhythm of growth passing from 5.2% in the period January-March 2005 to 6.9% in the following quarter. For this movement, it was important the reaction observed in footwear and leather, which passed from a fall of 4.8% in the first quarter of 2005 to an expansion of 4.9% in the second, as well as in petroleum refining and alcohol production (from –13.5% to 6.6%).

The accumulated growth in the first semester of 2005 remained in 6.1%, with seven sectors showing increase in the production, especially apparel (28.3%), non - metallic minerals (41.5%) and textiles (5.8%). The more significant negative impacts came from basic metal products (-17.5%) and petroleum refining and alcohol production (-3.4%).

Pernambuco

In June, the industrial production of Pernambuco increased 1.0% in comparison with the same month of the previous year. The indicators for larger periods continued positive: 1.9% in the accumulated in the year and 2.5% in the accumulated in the last twelve months.

In the monthly indicator, there was increase in six among 11 surveyed sectors. The major positive contributions were observed in chemical products (11.2%) and cellulose and paper (31.6%). On the other hand, the major negative impacts were observed in rubber and plastic (-35.9%), non-metallic minerals (-14.1%) and metal products (-16.9%).

In quarterly basis, a deceleration in the rhythm of growth from the first (3.5%) to the second quarter (0.0%) was observed which occurred mainly, due to the decrease indicated in the industries of rubber and plastic, which passed from –13.6% to –36.1%; non metallic minerals (from 13.9% to –3.8%) and food products and beverages (from 3.6% to 0.6%).

In the accumulated indicator of the first semester of the year, there was an expansion in seven among 11 investigated segments. The main contribution for the composition of the overall rate came from chemical products (13.0%). On the other hand, the greatest losses were observed in metal products (-19.5%), rubber and plastic (-25.0%) and textile (-27.7%).

Bahia

The industry of Bahia, in June, registered decrease of 2.2% in the monthly indicator, while in the other comparisons, for larger periods, the rates continued positive: 2.3% in the accumulated index of the year and 6.2% in the accumulated index of the last twelve months.

The industry of the state registered fall of 2.2% in the monthly indicator, after two consecutive positive rates, with three among nine industrial surveyed sectors decreasing. Chemical products (-8.0%) was the main negative result. Petroleum refining and alcohol production (-5.5%) and mining and quarrying (-6.3%), also pressured negatively, although in a lower intensity. On the other hand, food products and beverages (6.2%) and rubber and plastic (34.8%) brought the main positive influences.

In the quarterly analysis, the industry of the state shows positive rates, although decreasing, in the last three quarters: 15.5% in the last quarter of 2004, 3.5% in the first quarter of the year and 1.1% in the period April-June. From the first to the second quarter the deceleration trend showed, mainly, the retraction observed in chemical products, which passed from 5.2% in January-March to 1.8% in the following quarter, and basic metal products (from –4.7% to –14.6%).

In the accumulated production of the first semester of the year, growth was observed in six groups. The main highlight came from food products and beverages (10.5%), followed by chemical products (3.4%).

Minas Gerais

The industrial production of Minas Gerais recorded in June, growth of 10.4% in the comparison with the same month of the previous year, being this one the twenty-third consecutive positive result in this type of comparison. As a consequence, it was also observed expansion in the accumulated indicator and in the accumulated indicator of the last twelve months, of 7.7% and 7.5%, respectively.

In the comparison with the same month of the previous year, the industrial production of the state increased 10.4%, supported by the growth observed in the manufacturing industry (9.7%) as well as in the mining and quarrying industry (15.0%). In the expansion of this last one, which stood out as one of the main positive impacts in the overall index, stood out the increase in the production of iron ore. Among the 12 activities in the manufacturing industry, nine presented increase, especially automotive vehicles (23.1%), food products (13.6%) and metal products (52.1%). On the other hand, stood out the negative influence of basic metal products (-4.4%).

In the quarterly analysis, growth of 8.5% was registered in the second semester of 2005 in relation to the same period of the previous year. This result indicated acceleration in the rhythm of expansion of the production, since it was above the result of 6.9% recorded in the first quarter of 2005, which had already overcome the result of the last quarter of 2004 (5.4%). This enlargement of the growing rhythm during 2005 can be explained, mainly, by the increase observed in automotive vehicles (from 11.9% to 21.9%), in mining and quarrying (from 10.1% to 17.5%) and in food products (from 3.5% to 11.2%).

In relation to the first semester of the year, the indicator accumulated an increase of 7.7%, with growth in 10 among 13 surveyed activities. The main highlights were the following: automotive vehicles (17.1%), mining and quarrying (13.9%) and metal products (34.4%). On the other hand, the main influence came from basic metal products (-4.4%).

Espírito Santo

In June de 2005, the industrial production of Espírito Santo decreased 2.7% in relation to the same month of the previous year, after three consecutive months of growth in this type of comparison. In relation to indicators of larger periods, expansion of 3.2% in the accumulated in the year was observed and 4.7% in the accumulated in the last twelve months.

In relation to June of the previous year, the general industry decreased 2.7% of the volume produced, due, mainly, to the unfavorable performance of the manufacturing industry (-4.6%). The activity with the worst performance was basic metal products (-15.9%). Also registered a negative rate the production of cellulose and paper (-0.9%). On the other hand, the activities which more contributed positively for the formation of the overall result were the following: non-metallic minerals (6.1%) and food products and beverages (2.6%). Mining and quarrying also recorded a positive performance (2.2%).

In the quarterly analysis, it could be observed that, after an acceleration in the production in the last three months of 2004 (9.6%), the industry of the state grew in a more moderate and declining rhythm during the two consecutive quarters. The accumulated production in the second quarter of 2005 increased 1.8%, a rate below the one observed in the first quarter of 2005 (4.7%) and the lowest one observed since the first quarter of 2004. This deceleration in 2005 can be explained, mainly, by the retraction observed in food products and beverages (from 16.1% to –1.8%) and in mining and quarrying (from 6.0% to –0.5%).

The growth observed in the accumulated indicator in the first semester of the year was a result, mainly, of the positive performance of five surveyed activities. The positive highlights were cellulose and paper (4.7%), food products and beverages (7.0%) and mining and quarrying (2.7%).

Rio de Janeiro

In June, the industrial production of Rio de Janeiro fell 1.5% in the comparison with the same month of the previous year and broke three consecutive months of expansion. In the indicators for larger periods the industry of the state continued with positive rates: 1.3% in the accumulated index of the year and 2.2% in the accumulated in the last twelve months.

The fall of 1.5% observed in the comparison with the same month of the previous year, showed mainly, a scenario of fall in seven among 13 surveyed segments. The adverse performance of the manufacturing industry, with a fall of 6.1%, indicated its worst result since August 2003 (-8.8%). This index was considerably influenced by the unfavorable behavior of petroleum refining and alcohol production, which fell 28.6% due to a maintenance technical stoppage in an important company. It can also be mentioned the negative results which came from the pharmaceutical industry (-16.1%) and basic metal products (-12.5%). On the other hand, automotive vehicles with increase of 31.7%, was the main positive impact in the manufacturing industry. Mining and quarrying, while growing 22.4%, indicated its fourth consecutive positive result and brought the major positive contribution in the formation of the overall average. In this segment, stood out the good results that came from petroleum and natural gas extraction.In quarterly basis, the increase of 1.7% in the manufacturing activity of Rio de Janeiro in the second quarter of the year, showed a continuation of a sequence of positive rates which began in the first quarter of 2004 (1.0%). In the evolution of the industrial activity in the second quarter of 2005 it was observed a result slightly above the one observed in the period January-March (0.9%). This trend, although considerably less intense than the one observed in national level, reached seven industrial segments, being particularly important in mining and quarrying, which passed from 3.2% to 23.2%, while the manufacturing industry showed an opposite behavior (from 0.4% to –2.5%).

Regarding the closure of the first semester of the year, the industry of the state recorded growth (1.3%) with seven among 13 surveyed activities indicating positive rates. The favorable performance of mining and quarrying (13.1%), due mainly to the good performance of petroleum and natural gas, brought the main positive influence to the overall index. The manufacturing industry, by its way, showed a fall in production (-1.1%), being basic metal products (-11.3%) and edition and printing (-12.5%) the major negative results. On the other hand, non-metallic minerals (34.4%) and automotive vehicles (20.0%) were the industrial manufacturing segments which more pressured positively the overall index.

São Paulo

In June, the indicators of the industry of São Paulo were positive and above the national average: 8.0% in the monthly average, 6.3% in the accumulated index of the year and 9.5% in the accumulated of the last twelve months.

In the comparison June 05/ June 04, the good performance resulted of the positive contributions of 13 among 20 surveyed segments. The ones which most influenced the overall index were pharmaceuticals (31.6%), edition and printing (32.5%) and automotive vehicles (10.7%). On the opposite way, textiles (-8.2%) and metal products (-2.6%) represented the main negative pressures.

In the quarterly analysis, the indexes showed that the industry of the state grew in a more moderate rhythm since the last quarter of 2004. In 2005, the expansion of the second quarter (7.2%) was greater than the first one (5.3%). This trend can be attributed to the increase in the production rhythm in 11 among 20 activities between the two quarters, especially petroleum refining and alcohol production (from –7.1% to –0.1%), electronic material and communication equipment (from –11.6% to 0.9%) and food products (from –1.3% to 4.4%).

In the first semester of the year an increase of 6.3% was recorded. The influences of pharmaceuticals (26.7%), edition and printing (19.3%) and machines and equipment (12.5%) were important in the overall result. In an opposite way, petroleum refining and alcohol production (-3.5%) and electronic material and communication equipment (-5.0%) represented the main negative impacts.

Paraná

In June, the industrial production of Paraná increased 15.9% in the comparison with the same month of the previous year, being this one the thirty-first positive result in this type of comparison. The accumulated indicator of the first semester increased 8.0% and the accumulated of the last twelve months increased 10.5%.

In the comparison with the same month of the previous year, the production of Paraná increased 15.9% due mainly, to the growth in eight among 14 surveyed activities. This result observed in the general industry was influenced by the atypical increase observed in petroleum refining and alcohol production (513.5%), as a consequence of a low base of comparison, once in May and June of the previous year there was a stoppage of an important company of the sector. In the comparison June 04/ June 03, due to the stoppage, the production in this segment fell 83.7%. Also contributed positively in the composition of the overall index, the activity automotive vehicles (27.0%). On the other hand, the highest fall came from chemical products (-47.9%).

In the quarterly comparison a growth of 11.1% was observed, indicating an increase in the productive rhythm, after a deceleration from the last quarter of 2004 (12.4%) to the first quarter of this year (4.8%). The main responsible for this trend during 2005 was the activity petroleum refining and alcohol production (from -8.8% to 83.5%).

In the semester analysis, the accumulated indicator of the year registered an increase of 8.0%, with nine segments among the 14 surveyed segments recording positive rates. The main positive highlight in the composition of the overall index was the sector of automotive vehicles (35.5%). With negative performance, stood out petroleum refining and alcohol production (25.5%). The major negative impact came from chemical products (-34.3%).

Santa Catarina

In June the main indicators of Santa Catarina were positive. In relation to June 2004, the production increased 2.5%, being this one the seventeenth positive consecutive result in this type of comparison. The accumulated index for the first semester was 6.5% and the accumulated for the last twelve months, 10.3%.

In the comparison June 05/June 04, the expansion of 2.5% in the overall result showed the favorable behavior of eight among 11 industrial segments investigated. This positive index was influenced mainly, by increases observed in food products (7.8%), automotive vehicles (32.0%) and textiles (10.1%). It can also be mentioned the increases in cellulose and paper (9.3%) and non-metallic minerals (8.4%). On the other hand, among the three segments that indicated negative rates, machines and equipment, with decrease of 21.0%, was the main negative segment.

In the quarterly analysis, although indicating a positive rate of 4.8%, the industrial activity of the state confirmed the deceleration trend in the rhythm of expansion, which began in the third quarter of 2004 (17.2%), both comparisons with the same period of the previous year. This trend reached, in the period from the first to the second period quarter, eight industrial segments, being particularly more important in automotive vehicles (from 129.1% to 53.0%) and machines and equipment (from 2.6% to –7.7%).

In the end of the first semester, the industry of the state increased 6.5%, boasted by the favorable behavior in most part (eight) of the surveyed activities. The major positive impact came from automotive vehicles (82.8%), still considerably influenced by significant taxes observed in the first months of the year. It can also be mentioned the increases in food products (6.9%) and textiles (9.3%). Regarding the segments which reduced the production, stood out electric machines equipment and materials with the main negative contribution (-8.7%), followed by machines and equipment (-2.8%) and apparel (-4.4%).

Rio Grande do Sul

In June, the industry of Rio Grande do Sul in the comparison with the same month of the previous year fell 2.2%. The indicators for larger periods presented different results, fall of 3.1% in the accumulated in the year and expansion of 1.6% in the accumulated of the last twelve months.

According to the monthly index, the fall of 2.2% in the industrial production of the state was determined, mainly, by the negative performance of seven among 14 surveyed segments. Among these, the more expressive were the following: petroleum refining and alcohol production (-16.6%), other chemical products (-10.9%) and machines and equipment (-9.6%). On the other hand, the major increases in the general index came from tobacco (5.9%) and food products (5.0%).

From the first to the second quarter of the year, the industry of the state showed a lower fall in the last quarter (-2.9%), which weakened a little bit the deceleration trend of the industrial activity, which began in the fourth quarter of 2004 (2.6%). Seven sectors increased their participation in the composition of the overall rate, where the major gains came from tobacco (from –22.7% to 1.9%) and petroleum refining and alcohol production (from –10.0% to 0.2%).

In the accumulated indicator of the year, the industry of the state fell 3.1%, with 10 among 14 surveyed segments contributing for this performance. The main highlights were machines and equipment (-19.7%), other chemical products (-5.7%) and tobacco (-5.8%). The segments of food products (5.4%) and footwear and leather articles (5.0%) brought the main positive pressures.

Goiás

In June, the industrial production of Goiás, according to the monthly indicator, expanded 10.6%, a result considerably above the one of May (1.4%). Also recorded growth the indicators for larger periods: 6.9% in the accumulated of the year and 9.4% in the accumulated of the last twelve months.

In the comparison with same month of previous year, the growth of the industry of the state was boasted, mainly, by the behavior of food products and beverages (11.2%). The other four activities surveyed also indicated growth, especially basic metal products (12.7%) and mining and quarrying (8.9%).

The industry of the state in the second quarter of 2005 registered increase of 9.8%. This result was determined mainly, by the growth observed in food products and beverages (10,2%). Other relevant positive contributions came from mining and quarrying (18.5%) and basic metal products (10.5%). On the other hand, the only negative pressure was chemical products (-0.5%). Comparing to the result of January- March (3.8%), it could be observed that the increase in the rhythm of industrial production of Goias, in the second quarter of the year was a direct consequence of the performance of the activities food products and beverages, which passed from 6.4% to 10.2%; chemical products (from –12.3% to –0.5%) and mining and quarrying (from 2.8% to 18.5%).

The growth of 6.9% in the accumulated period January-June was also a result mainly, of the good performance of food products and beverages (8.4%). Other three activities surveyed attained positive results, among these the more expressive were: mining and quarrying (10.3%) and basic metal products (11.8%). On the other hand, chemical products (-6.9%) was the only negative contribution in the overall result.