US industrial production rises despite drop in autos

Source: Xinhua | 2017-08-18

US factories increased production in July, despite a sharp decline in output of autos and parts, the Federal Reserve said yesterday.

Industrial output rose 0.2 percent compared to June, slightly less than expected by economists, as manufacturing took a hit from the 3.6 percent drop in the autos, the report said.

“Following a six-month string of increases beginning in September 2016, factory output was little changed, on net, between February and July,” the Fed said, although production has gained 2.2 percent in the last 12 months.

As car sales have slowed sharply from the record pace in 2016, output of motor vehicles and parts has fallen in five months this year, and have shed five percent in the latest 12 months.