Production and employment among Brazilian industrial activities in February have declined from January, according to the sector association CNI.
The number of employees, and particularly the volume of the production, have declined from January to February in a seasonal effect, but this year the decline was more substantial than in previous years.
Inventory levels remain above the plans established by entrepreneurs, suggesting that demand is lower than expected, raising additional difficulties for increasing the industrial activity.
Under such a scenario, the mood among entrepreneurs is of “cautious optimism,” with indexes of optimism unchanged from January to February, although lower than usual for the period.
Regarding the index that measures investments intentions, the situation is of stability, but in a level above the historical average.
The utilization rate of the industrial production capacity is stable over the last three months to February at 67 percent, a figure in line with the historical average for the month.
The research was developed between March 1-9, 2023, among representatives of 1,637 companies.