Industrial production rises, but remains far below 2019 levels

The latest figures from the Brazilian Institute of Geography and Statistics show that the country’s industrial production rose 7 percent in the month of May, slightly above market expectations of 6.7 percent. While certainly a positive piece of news in relation to April — which saw Brazilian industry’s worst results for the month in 18 years, falling 18.8 percent — this latest data is far less heartening when analyzed in a broader timeframe. In relation to May 2019, industrial production recorded a drop of 21.9 percent.  Brazilian industry has faced countless problems while trying to negotiate its way through the Covid-19 crisis. The spread of infection caused several factories to close during March and April, and only now are things tentatively picking up once. As a comparison, production levels remain 34.1 percent below their historic peak, recorded in May 2011.

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• #outbreak
• #recession