Manufacturing output 4 percent down in August

In August 2020, the average daily output generated by the Dutch manufacturing industry was 4.0 percent down on August 2019. The year-on-year decrease is smaller than in the previous four months, as reported by Statistics Netherlands (CBS). In September, producer confidence improved for the fifth consecutive month.

Average daily output manufacturing (volume)
jaarmaandchange (year-on-year % change)
2016September2.3
2016October0
2016November3.4
2016December6.7
2017January0.4
2017February4.9
2017March3
2017April0.5
2017May5
2017June2.4
2017July2.7
2017August3.7
2017September4.8
2017October5.1
2017November5.3
2017December4.4
2018January7.5
2018February3.2
2018March3.8
2018April4.7
2018May2.9
2018June3.3
2018July0.9
2018August4
2018September1.7
2018October2.4
2018November1.3
2018December-4.3
2019January-0.6
2019February-0.1
2019March-0.8
2019April-0.3
2019May-0.9
2019June-2.5
2019July0
2019August-1.7
2019September1.2
2019Oktober0.5
2019November-1.6
2019December-1.2
2020January1.4
2020February-0.9
2020March-1.9
2020April-10.9
2020May-12.1
2020June-9.7
2020July-5.2
2020August-4

Output decline in majority of industries

In August, over two thirds of the industries again saw their output decline on an annual basis. However, contraction was smaller in slightly over half of those industries compared to July. Of the eight largest industries within manufacturing, the repair and installation of machinery industry recorded the strongest output contraction.

Average daily output manufacturing (volume) by sector, August 2020
Categorychange (year-on-year % change)
Chemical products2.5
Electrical and electronics-0.1
Food products-0.2
Machinery-2.1
Rubber and plastic products-2.3
Metal products-9.5
Transport equipment-12.6
Repair and installation of machinery-28.1
Manufacturing (total)-4
Altogether, the industries referred to in the above graph account for approximately 75 percent of the total manufacturing output

Downward trend

A more accurate picture of short-term output developments is obtained when figures are adjusted for seasonal effects and the working-day pattern. After adjustments, an increase of 0.7 percent is seen in manufacturing output between July and August.

Adjusted for seasonal and working-day effects, manufacturing output is seen to fluctuate significantly. From mid-2014 until the beginning of 2018, the overall trend was upward. Subsequently, the trend has been downward.

Seasonally adjusted average daily output manufacturing (volume)
jaarmaandindex (2015=100)
2016September102.3
2016October102.5
2016November105
2016December106.3
2017January103.1
2017February105.5
2017March105.2
2017April104.6
2017May106.6
2017June106.1
2017July106.1
2017August105.6
2017September107.3
2017October107.7
2017November109.7
2017December110.4
2018January110.5
2018February109.4
2018March109.4
2018April109.4
2018May109.6
2018June109.3
2018July107.6
2018August109.3
2018September109.1
2018October109.6
2018November110.2
2018December107
2019January109.6
2019February109.2
2019March108.8
2019April108.9
2019May108.5
2019June107.3
2019July107.5
2019August107.8
2019September109.5
2019October109.7
2019November108.4
2019December106.5
2020January109.8
2020February107.8
2020March106.5
2020April97.6
2020May96
2020June98.5
2020July102.4
2020August103.1

Producer confidence continues to rise in September

In September, confidence among Dutch manufacturers was less unfavourable for the fifth consecutive month. Manufacturers were mainly less negative about their order position.

Germany is an important foreign market for the Dutch manufacturing industry. According to the Business Climate Index of the IFO Institute, in September producer confidence also improved for the fifth consecutive month in Germany as well. Both opinions on future output and opinions on the current situation improved. In August, the average daily output generated by the German industry contracted by almost 12 percent year-on-year, as reported by Destatis. Contraction was just as large as in the previous month.

The figures published in this news release are provisional and subject to revisions.

Sources

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