According to Statistics Netherlands (CBS), the average daily output generated by Dutch manufacturing industry was 0.7 percent up in September 2015 from the same month last year. This is mainly due to production growth in the pharmaceutical and electrical industry.
Production growth in pharmaceutical and electrical industry
Year-on-year output generated by the pharmaceutical industry grew by 9 percent in September. Output of electrical equipment grew by more than 4 percent. Output of metal and food products was also up from twelve months previously.
Production generated by the chemical industry, on the other hand, fell by nearly 5 percent relative to September 2014. Year-on-year output realised by the machinery industry declined further, mainly due to fewer outstanding orders.
Altogether, the branches referred to in the above graph account for approximately 70 percent of total manufacturing output.
Manufacturing output varies considerably
Figures adjusted for seasonal variation and calendar effects provide a more reliable picture of short-term output developments. From August to September 2015, manufacturing output rose by 0.4 percent. In April and June, manufacturing output reached the highest level so far this year.
Because manufacturing output adjusted for seasonal variation shows an irregular pattern with many ups and downs, there is no obvious short-term trend.
Dutch manufacturers less optimistic
Confidence among Dutch manufacturers deteriorated in October compared to September. The producer confidence indicator fell from 3.8 in September to 2.4 in October. This is mainly because Dutch manufacturers are less positive about their order books and stocks of finished products. Confidence among manufacturers is still well above its long-term average over the past two decades (0.4). This year, the confidence indicator reached its highest level in June.
The mood among German manufacturers was also less positive in October than in September. In April, German producer confidence reached the highest level in 2015 so far. Germany is an important foreign market for Dutch manufacturing industry.