Euro area industrial production falls 0.5% in August, its third monthly decline in a row

Industrial production in the euro area fell in August 2026 for the third month running. Eurostat, the statistical office of the European Union, published first estimates on 15 October 2026 showing seasonally adjusted output 0.5% lower than in July. Production across the 27-member European Union fell 0.3%.

Compared with August 2025, production was down 1.1% in the euro area and 0.2% in the EU. Eurostat also lowered its July figures. The monthly change for July is now -0.3% in the euro area, against -0.1% in the release of 16 September 2026. For the EU it is now -0.4%, against -0.3% before. Annual growth for July was revised from 0% to -0.3% in the euro area and from +0.3% to +0.2% in the EU.

The financial news site FXStreet reported that output had been expected to stay flat in August. Kai Times could not check that forecast against a primary source.

Consumer goods led the fall

In the euro area, output of non-durable consumer goods fell 2.7% from July. Intermediate goods fell 0.8% and energy fell 0.6%. Capital goods rose 0.4% and durable consumer goods rose 0.2%. In the EU, non-durable consumer goods fell 2.3%, energy 0.5% and intermediate goods 0.3%. Capital goods rose 0.7% and durable consumer goods were unchanged.

Over the year, euro area output of non-durable consumer goods was 9.1% lower than in August 2025. Energy was up 3.1% and capital goods were up 3.0% over the same period.

Eurostat’s index of total industry for the euro area stood at 97.5 in August (2021 = 100). It was 98.4 in May. The EU index stood at 99.9.

Large swings between member states

The largest monthly falls were in Belgium (-5.1%), Ireland (-3.1%) and Portugal (-2.0%). The largest rises were in Sweden (+6.5%), Estonia (+4.3%) and the Netherlands (+2.6%). Over the year, Ireland recorded the steepest fall at 15.0%, followed by Belgium (-7.1%) and Bulgaria (-5.4%). The Netherlands (+9.8%), Hungary (+8.8%) and Denmark (+8.3%) recorded the largest annual increases.

Among the largest euro area economies, Eurostat’s figures show German output up 0.4% from July. France was down 0.3%, Spain down 0.8% and Italy down 1.3%.

The German figure differs from the headline published by the Federal Statistical Office (Destatis) on 7 October 2026. Destatis reported that production in industry rose 2.0% in August. It said the rise came mainly from construction, which grew 9.3%. Excluding energy and construction, Destatis put the increase at 0.6%. Output in the German automotive industry fell 5.4%, and Destatis said this was partly due to factory holidays, citing the German Association of the Automotive Industry. Eurostat’s index covers industry excluding construction, defined as NACE Rev. 2 sections B to D.

Method and next release

Eurostat builds its euro area and EU figures by adding together the seasonally adjusted national data. Where member states have not yet reported recent months, Eurostat estimates the missing figures. Its euro area aggregate covers 21 countries, including Bulgaria.

Eurostat lists 16 November 2026 as the date of its next release of the indicator. The figures published on 15 October are first estimates and may be revised, as the July data were.