German Industrial Production Increased By 3.2 Percent In October

German Industrial Production Increased By 3.2 Percent In October

German industrial production increased by 3.2 percent month on month in October. The country's industrial production thus rose for the sixth month in a row, partly supported by a significant strengthening of the important automotive sector. The German Ministry of Economy informed about it on Monday. The October growth of the industry followed the strengthening of 2.3 percent in September. Economists expected German industry to grow by only 1.6 percent in October. According to data released on Friday in October, German industrial orders rose by 2.9 percent. This was almost twice the growth predicted by economists as demand for capital goods such as factory machinery increased. These data indicate a promising start to the fourth quarter. However, the sharp rise in coronavirus infections led to partial lockdowns in Germany and other parts of Europe in November. "Industrial production should be the bright spot of the economy in the fourth quarter, but given the negative impact of the latest lockdowns on mood, services and consumption, this positive industrial impulse will not, in our view, be enough to avoid a double recession in the German economy," said ING economist Carsten Brzeski.