KSH: Hungarian industry in a state of disarray – 2.6% decline in May

According to data from the Central Statistical Office, the volume of industrial production in May fell by 2.6 percent from a year earlier, and a 1.3 percent decrease was also recorded compared to the previous month. In the first five months of the year, production was 4.1 percent lower overall than in the same period in 2024.

The volume of production decreased in the vast majority of manufacturing sub-sectors. Of the most important sub-sectors, vehicle manufacturing and the production of computer, electronic and optical products expanded, while there was a decline in the production of electrical equipment and the production of food, beverages and tobacco products.

In response, the Ministry of National Economy announced that the government would do everything it could to boost domestic industry. As part of this, the 100 new factory program was increased to 150, which could affect investments of more than 10 thousand billion forints. Within the framework of the Demján Sándor Program, more than 1,400 billion forints of funds are being used to support the growth of domestic SMEs.