Industry up in 12 locations in August; six surpass pre-pandemic levels

Brazil’s industrial sector saw an increase in 12 of the 15 locations surveyed by the Monthly Industrial Survey (PIM-Regional) from July to August. Results show that six locations have surpassed levels freom before the COVID-19 pandemic started: Amazonas (7.6%), Pará (5.5%), Ceará (5%), Goiás (3.9%), Minas Gerais (2.6%), and Pernambuco (0.7%) are above their February figures.

The data were published today (Oct. 8) by the government’s statistics agency IBGE.

The country’s industrial output went up 3.2 percent in August, the fourth growth in a row. Research Manager Bernardo Almeida explained that this performance is linked to the efforts to end or loose social isolation measures. “Mostly, the survey shows the expansion of the movement where production units are resuming production after suspensions and interruptions stemming from the pandemic.”

Compared to August 2019, Brazil’s industrial production was down 2.7 percent. Reductions were reported in nine locations.

The study reports that Pará saw the most significant surge in production in August—9.8 percent. The rate brings the state to the second place in influence over the overall result. “It’s the third positive rate in Pará, with a growth of 18.2 percent in this time frame,” Almeida declared in a note, adding that the rate was influenced by the performance in the mineral extraction sector, equivalent to approximately 88 percent of Pará’s industrial output.

The industry of São Paulo is still reported as the biggest influence in this series of growths in the sector. In August, the surge was 3.8 percent. “Vehicles pull up the result, as it’s very active in São Paulo’s industry,” Almeida pointed out, also naming the good performance of the sector of machinery and equipment. São Paulo is displaying the fourth consecutive positive rate—39.8 percent in the period. However, it is still 0.6 percent below the pre-pandemic landscape.

Rio de Janeiro was up 3.3 percent, the seventh highest rate in the month, but the third highest countrywide. “This index was pulled by the sector of oil by-products, especially refining. Metallurgy also played a role,” said the research manager.

It is also the fourth positive rate for the state in a row—19.1 percent accumulated in the period. Rio stands 0.1 percent below February.

On the other hand, Pernambuco (-3.9%) and Espírito Santo (-2.7%) witnessed the biggest reductions in the month. After three months with increases adding up to 40.3 percent, Pernambuco’s industrial output went down as a result of a lower performance in beverages, a major sector in the state. Nonetheless, Pernambuco is on the list of places surpassing February levels. Minas Gerais, down 0.4 percent, wraps up the list of shrinkages.