Drop in Production and Turnover in Latvian Manufacturing Industry – April 2023 Report

The volume of production decreased in two of the three largest sectors by proportion: in the production of wood and wood products and in the production of finished metal products, excluding machinery and equipment (by 16.1% and 11.2%, respectively). The volume of production also decreased in printing and reproduction of records – by 30.3%, in the production of non-metallic mineral products – by 26%, as well as in the production of cars, trailers and semi-trailers (car parts and accessories) – by 13.8%.

The drop in production observed in April is mainly due to a decrease in the number of orders.

According to the share of the largest manufacturing sector – wood and wood product manufacturing – export demand was high in 2021 and 2022 and production capacity was increased, but the number of orders has decreased significantly this year.

The total decrease in the volume of production was also affected by the production of finished metal products, which is one of the largest sectors in terms of proportion – a decrease in orders was also observed in it, but to a lesser extent.

Compared to the corresponding month of last year, the production volume increased in the production of computers, electronic and optical equipment – by 24.3%, as well as in the repair and installation of equipment and devices – by 68.8%.

An increase was also observed in the production of electrical equipment – by 19%, in the production of beverages – by 5.6%, in the production of equipment, mechanisms and work machines – by 32.7%, as well as in the production of chemicals – by 4.8%. In terms of share in the second largest manufacturing sector – food production – the volume has been unchanged.

In April 2023, compared to March 2023, the volume of industrial production decreased by 0.6% at comparable prices according to seasonally adjusted data. The production volume fell in the manufacturing industry – by 1.9%, as well as in mining and quarrying – by 0.3%. On the other hand, in electricity and gas supply – an increase of 9.6%.

In April 2023, compared to April 2022, the turnover of the manufacturing industry decreased by 5.6% in actual prices according to calendar-adjusted data. Turnover in the domestic market decreased by 1.3% and in exports – by 7.6% (including both in the eurozone and outside it – by 7.6%).

In April 2023, compared to March 2023, the turnover of the manufacturing industry, according to seasonally adjusted data, decreased by 5.2%. In the local market, the turnover decreased by 1.8%, but in export – by 6.9% (including in the eurozone – by 4%, outside the eurozone – by 9.3%).

Report a bug