Sustained growth manufacturing output
According to Statistics Netherlands (CBS), the average daily output generated by Dutch manufacturing industry in January 2016 was 2.8 percent up from the same month last year. This is mainly due to considerable production growth in the electrical appliances and pharmaceutical industries. Adjusted for seasonal variation, Dutch manufacturing output reached the highest level in nearly four years.
Considerable production growth in electrical appliances and pharmaceutical industries
Output generated by the electrical appliances industry grew by 17 percent in January relative to January 2015. The pharmaceutical industry realised 14 percent production growth. Output growth in the sector transport equipment and the rubber and plastic industry was also above average. The production of food, metal and chemical products was also higher than twelve months previously, but year-on-year production of machinery and equipment was lower, just as in the preceding months.
Manufacturing output at highest level in nearly four years
Figures adjusted for seasonal variation and calendar effects provide a more reliable picture of short-term output developments. From December 2015 to January 2016 manufacturing output rose by 0.4 percent, resulting in the highest output level since March 2012. Manufacturing output adjusted for seasonal variation shows an irregular pattern with many ups and downs, but since mid-2014, the trend has been upward.
Confidence Dutch manufacturers hardly changed
A few weeks ago, CBS reported that confidence among Dutch manufacturers had hardly changed in February. The producer confidence indicator slipped from 3.2 in January to 3.1 in February. Confidence among manufacturers is still well above its long-term average over the past two decades. Since October 2014, optimism has prevailed among Dutch manufacturers.
The mood among German manufacturers, on the other hand, has deteriorated in February compared to one month previously. Germany is an important foreign market for Dutch manufacturing industry. The daily output generated by German manufacturing industry was 2.2. percent higher in January 2016 than in the same month last year and rose by 3.3 percent from December to January.