FX.co ★ Hungary Industrial Output Contraction Confirmed at 7.3%

In August 2025, Hungary experienced a significant downturn in industrial production, with a year-on-year decline of 7.3%, aligning with preliminary forecasts and following a 1% decrease in July. This represents the most substantial drop since February, primarily due to a marked decline in the manufacturing sector, which saw a 7.4% reduction compared to a 0.5% drop in the previous month. The fall was notably pronounced in the production of vehicles, computer equipment, electronics, and optical products. Further contractions were observed in mining and quarrying, which declined by 9.2% from 8.5% in July, and in the supply sector of electricity, gas, steam, and air-conditioning, which fell by 8.9%, worsening from the 7.2% reduction recorded in the previous month. On a seasonally adjusted monthly basis, industrial activity saw a 2.3% decline in August, overturning a 1.9% increase in July.