Industrial production rose slightly in June

ANKARA

Türkiye’s industrial production increased by 0.6 percent in June from a year ago, after rising 0.2 percent year-on-year in the previous month.

Industrial output shrank 1.2 percent on an annual basis in April.

On a seasonally and calendar-adjusted basis annual increase in the country’s industrial production was 1.6 percent, accelerating from May’s 1.4 percent rise, the Turkish Statistical Institute (TÜİK) said on Aug. 10.

In the key manufacturing sector, output rose by 2.1 percent year-on-year, while the increase from May was 2.3 percent.

Energy production fell 4.7 percent in June compared with the same month of 2022 and the sector’s output was unchanged from May.

Intermediate goods production fell 3.7 percent from June 2022, but it rose by 2.2 percent month-on-month. A nearly 21 percent annual increase in capital goods production was significant.

Overall industrial production recorded a 1.6 percent increase in June compared with May.

The headline manufacturing PMI dipped from 51.5 in June to 49.9 in July, showed a survey conducted jointly by the Istanbul Chamber of Industry (ISO) and S&P Global earlier this month.

The index signaled broadly stable business conditions and ended a six-month sequence of expansion.

Any figure greater than 50 indicates overall improvement in the sector.

The end of the run of growth in the sector was often attributed by firms to strengthening inflationary pressure, the survey said.

More than half of all respondents - 52 percent - to the PMI survey indicated that their input prices had risen over the month, which they often linked to currency weakness.

There were also some reports that higher wages had added to overall input costs, the survey said.