Setback in manufacturing masks modest month-on-month recovery

Industrial production continues to decline
December 15, 2025

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Setback in manufacturing masks modest month-on-month recovery

The volume of industrial production lagged behind the one year earlier level by 2.7% in October 2025. The working day adjusted index is equal to the non-adjusted one. A setback in production occurred in the great majority of the manufacturing subsections. According to seasonally and working-day adjusted data, industrial output was 0.5% higher than in September 2025.

In October 2025 the volume of industrial production decreased by 2.7% compared to the same period of the previous year. (Compared to the October data published in the first estimate, the data in the second estimate did not change.)

Industrial output– according to seasonally and working-day adjusted indices – was above the previous month’s level by 0.5%.

The volume of industrial export was 2.4% lower than a year earlier. The manufacture of transport equipment export, representing a 30% weight within export sales in manufacturing fell by 8.5%, the manufacture of computer, electronic and optical products export, accounting for a 20% weight, went up by 28%.

Domestic sales of industry decreased by 4.5%, those of manufacturing declined by 5.2% compared to the same month of the previous year.

Within industry, production lessened by 2.9% in the decisive weight (95%) representing manufacturing, at the same time grew by 8.5% in the energy industry (electricity, gas, steam and air-conditioning supply), and rose by 2.0% in the small weight representing mining and quarrying.

Output volume of the largest weight representing manufacture of transport equipment, having a 25% share in manufacturing, decreased by 5.7% compared to the same month of the previous year. Motor vehicles manufacturing declined by 5.0%, the manufacture of parts and accessories for motor vehicles dropped by 8.6%.

The manufacture of computer, electronic and optical products, accounting for 14% within manufacturing output exceeded the October 2024 level by 16.4%. Considering the two largest groups, the manufacture of computers and peripheral equipment went up by 78%, at the same time the manufacture of electronic components and boards fell by 32%.

The manufacture of electrical equipment, representing a 9.0% weight in manufacturing lagged behind the one year earlier level by 4.5%. Out of the two largest weight representing groups production volume in the manufacture of batteries and accumulators lessened by 1.8%, while the manufacture of electric motors, generators, transformers and electricity distribution and control remained at the October 2024 level.

The manufacture of food products, beverages and tobacco products, having a 14% share in manufacturing, was 1.6% lower than in the same month of the previous year, both domestic and export sales dropped. Processing and preserving meat and the production of meat products, representing the largest weight (23%) lessened by 0.1%. Production decreased between 0.6% and 15.6% in six other groups, most of all in the manufacture of vegetable and animal oils and fats, least of all in the manufacture of bakery and farinaceous products. Output increased between 1.2% and 16.8% in the other four groups, at the highest rate in the manufacture of prepared animal feeds.

Out of the two medium weight representing subsections the manufacture of rubber and plastics products and other non-metallic mineral products fell by 5.1%, the manufacture of basic metals and fabricated metal products, except machinery and equipment declined by 2.4% compared to the same month of the previous year.

Continuing the previous month’s growth, the manufacture of machinery and equipment n.e.c., having a 5.7% share in manufacturing, rose by 2.0%, mainly due to an increase in export sales, while domestic sales declined.

Out of the subsections the manufacture of coke, and refined petroleum products, having a small weight, lagged behind the most, by 32% year-on-year, sales dropped significantly in both directions.

Industrial output increased in three regions, declined in five, year-on-year. The highest volume growth was observed in Central Transdanubia (12.0%), the most significant decline (15.6%) was registered in the Northern Hungary.

The volume of total new orders in the observed divisions of manufacturing was 0.6% higher compared to October 2024. New domestic orders decreased by 3.8%, new export orders grew by 1.4%. The total stock of orders at the end of October was below the previous year’s level by 1.1%.

In January–October 2025, compared to the same period of the previous year:

Industrial production dropped by 3.3%. The volume of export sales, representing 64% of all sales declined by 2.3%, domestic sales, accounting for 36% of all sales, decreased by 4.2%.

Out of the thirteen manufacturing subsections production fell in eleven, to the greatest extent, by 12.5%, in the manufacture of electrical equipment. The output of the manufacture of transport equipment, the largest subsection, declined by 4.5%. Production volume grew in two subsections: by 13.6% in the manufacture of computer, electronic and optical products, and by 2.0% in the manufacture of wood and paper products, and printing.

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