Estonian production growth falters in June

Estonian production growth falters in June
By bne IntelliNews July 31, 2018

Estonian industrial production grew 2.5% y/y in June, working-day adjusted data from Statistics Estonia showed on July 31.

The expansion rate is 0.5pp slower than in May. Output has now grown for 24 months straight in the Estonian industry overall, helping economic growth. Estonia’s GDP grew 3.6% y/y in the first quarter, slowing down from an annual expansion of 5% in the fourth quarter. The second quarter growth figure is due on August 31.

Manufacturing output expanded a working-day adjusted 1.5% y/y in June, data showed. Production in mining jumped 16.5% y/y while energy production increased 2.2% y/y.

Most segments increased in production rate in the manufacturing sector, with the fastest expansion in the manufacture of chemical products, computer, electronic, and optical products, and motor vehicles. On the other hand, there were falls in the production of wood and wood products, furniture, and building materials.

In unadjusted annual terms, industrial production also grew 2.5% y/y in June. In seasonally adjusted monthly terms, output declined 0.9%.

Some 68% of industrial output was sold on the external market, Statistics Estonia also reported. That has been nearly a constant proportion over several months now. According to unadjusted data, export sales of manufacturing production grew 6% y/y in May, while domestic sales rose 3% on the year.