Production flat as US upturn awaited

INDUSTRIAL production was flat in the quarter to the of end June with the modern end of the economy doing somewhat better than traditional industry.

The figures from the Central Statistics Office reflect the weak state of the Irish and global economies, still waiting for the US to inject some pace into global demand. Figures released yesterday show that overall production was up 1.5% on the preceding quarter.

June production for all industries was down on June 2002. The modern sector, comprising hi-tech and chemical firms, showed a slight annual increase in production of 0.2%, whereas the so-called traditional sector was down 1.3%. Davy Stockbrokers said industrial production increased by 2% month-on-month seasonally adjusted. That compares favourably with the March to May period when production dropped by 1.7% in March, 0.8% in April and 0.5% in May. Senior Davys analyst Robbie Kelleher said a clear divergence existed between the multinational sector and the mainly indigenous sectors.