Industry production rises again yet remains far from pre-pandemic levels

Photo: Alf Ribeiro/Shutterstock

In June, Brazilian industry production continued its gradual recovery after reaching the lowest point on record in April due to the pandemic. The general index increased by 8.9 percent compared to May — the second increase in a row — but it is still around 12 percent below February levels.

When we look at the figures split into processing and extractive industries, we see that the results are harmful to both. The extractive sector — in trouble since the Brumadinho dam collapse at the beginning of 2019 — has been less unstable during the pandemic but is still not in good shape. The processing industry, which has a huge influence on the general index, fell sharply in March and April. Two months of positive data have only been enough to recoup half of the losses seen at the beginning of the pandemic.

The numbers were released earlier this morning by the Brazilian Institute of Geography and Statistics. 

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