Eurostat reported that total industrial production (IP) in August declined by -1.0% in the EU and -1.2% in the Eurozone compared with July, reversing the rises in July of +0.4% in the EU and +0.5% in the Eurozone. This continues the pattern of alternating monthly falls and gains observed since April.
Year-on-year comparisons show a stronger picture: in August 2025, total IP increased by +1.1% in both the EU and the Eurozone, although this is down from +1.8% in both the EU and the Eurozone in July.
To reduce monthly volatility, rolling three-month trends provide a clearer picture. For June to August 2025 versus March to May, total IP showed declines of -0.7% in the EU and -1.1% in the Eurozone.
As noted in previous updates, trends are heavily shaped by Ireland, where both IP and GDP are influenced by the presence of multinational headquarters. Ireland has shown particularly large monthly swings this year, with a sharp -11.8% decrease in June being followed by a +0.5% rise in July and a larger +9.8% rise in August.
Manufacturing accounts for the largest share of IP in Eurostat’s data, but the series also includes utilities and energy, making direct comparison with UK figures more difficult. Capital goods, however, are directly comparable. Between July and August, output of capital goods decreased by -1.6% in the EU and by -2.2% in the Eurozone. Looking back 12 months to August 2024, capital goods output increased by +0.5% in the EU but decreased by -0.4% in the Eurozone.
On the same 12-month basis, 15 of the 27 EU member states recorded higher total IP, while 11 saw declines and 1 (Belgium) did not record IP data in August. The strongest growth was in Ireland (+28.6%), Luxembourg (+9.5%) and Sweden (+8.3%), while the steepest falls were in Bulgaria (-8.6%), Slovakia (-6.3%) and Denmark (-5.0%).
You can get the full details from the Eurostat News Release which can be downloaded from their website at https://ec.europa.eu/eurostat/news/euro-indicators (15 October) or requested from MTA.