Industrial production in Brazil fell 1.2% in November 2019 compared to October of the same year. This downfall interrupted the upward sequence of the previous three months.
According to IBGE, this is the worst November since 2015, when the industry fell 1.9%, according to the Monthly Industrial Survey, released today (01/09).
There was a reduction in the production of 16 of the 26 surveyed activities. The 1.2% drop eliminates part of the accumulated 2.2% expansion from August to October 2019. With these results, the Brazilian industrial sector is 17.1% below the record level reached in May 2011.
This indicates that many of Brazil's macroeconomic conditions have not changed sufficiently for the current optimism of the government's economic area (Paulo Guedes has even said that the private sector in Brazil could grow by 3% by 2020) and for many economic analysts in the Brazilian media.
In fact, industrial growth in Brazil will be very difficult without strong growth in the rest of the world. Brazil also needs to reverse the country's huge productivity gap.
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