Italy’s industrial output fell 0.4% in December month-on-month, slightly better than forecasts, yet broader data suggest the country’s prolonged manufacturing slump may be easing.
A Reuters poll had predicted a 0.5% decline, following November’s revised 1.5% increase, indicating production remains volatile but resilient.
According to ISTAT, weaker output in consumer and intermediate goods outweighed gains in energy and investment goods during the final month of the year.
Despite December’s dip, fourth-quarter industrial output rose 0.9% compared with the previous quarter, offering cautious optimism for the sector.
On a workday-adjusted annual basis, output climbed 3.2% in December, accelerating from November’s 1.4% rise and signaling a tentative recovery.
For 2025 overall, production slipped 0.2%, a marked improvement after sharper declines of 4% in 2024 and 2% in 2023.
Meanwhile, Italy’s economy expanded 0.3% quarter-on-quarter in the fourth quarter, with annual growth reaching 0.7%, reinforcing expectations of gradual stabilization.
