Turkey’s industrial production slumped 9.8 percent year-on-year in December 2018, following an upwardly revised 6.6 percent drop in the previous month. It was the fourth straight month of decline in industrial production and the steepest since June 2009, as output contracted for intermediate goods (-14.9 percent vs -11.9 percent); durable consumer goods (-8.9 percent vs 9.8 percent); capital goods (-8.6 percent vs -8.4 percent); non-durable consumer goods (-6.4 percent vs -3 percent); and energy (-0.3 percent vs 0.8 percent). On a monthly basis, industrial production went down 1.4 percent in December, the fifth straight month of contraction. Industrial Production in Turkey averaged 5.27 percent from 1986 until 2018, reaching an all time high of 27.30 percent in October of 2005 and a record low of -21.20 percent in February of 2009.
Industrial Production in Turkey is expected to be 0.80 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Industrial Production in Turkey to stand at 2.90 in 12 months time. In the long-term, the Turkey Industrial Production is projected to trend around 2.50 percent in 2020, according to our econometric models.