FX.co ★ Euro Area Industrial Output Falls for 3rd Month

Industrial production in the Euro Area declined by 0.5% month-on-month in August 2026, missing expectations for no change and following a 0.3% drop in July. This was the third consecutive monthly contraction in output across the bloc.

By category, production fell for intermediate goods (-0.8% vs +0.2% in July), energy (-0.6% vs 0.0%), and non-durable consumer goods (-2.7%, matching July’s pace). Growth also weakened in capital goods (up 0.4% vs 0.7% previously) and durable consumer goods (up 0.2% vs 0.4%).

Among major economies, output declined in Spain (-0.8%), France (-0.3%), and Italy (-1.3%), while it rose in Germany (+0.4%).

On an annual basis, industrial production fell by 1.1%, deepening the 0.3% year-on-year decline recorded in the previous month.