Mexico Industrial Output Gains as Construction Offsets Factory Slump
Mexico’s industrial production climbed for a third consecutive month in December, driven by gains in construction and energy that outweighed a slight contraction in manufacturing. According to data from the national statistics institute, Inegi, seasonally adjusted output rose 0.2% from the previous month, signaling a modest recovery in industrial activity toward the end of the year.
February 11, 2026, 04:33 PM 0 0
The expansion was largely fueled by a 1.2% surge in construction activity and a 0.7% increase in utilities. The mining sector also contributed to the positive momentum, posting a 0.5% gain bolstered by a 1.6% rise in oil and gas extraction. These gains provided a necessary buffer against a cooling manufacturing environment, which saw a marginal 0.1% decline despite growth in the automotive and machinery sectors.
Sector Performance and Annual Trends
While the monthly figures suggest stabilization, the manufacturing sector faced a bifurcated performance. Gains in high-value sectors like machinery were neutralized by downturns in traditional industries, including:
Food processing
Textile production
General manufacturing exports
On an annual basis, industrial production grew 2.4% compared to December 2024. However, the full-year figures highlight a more difficult environment for the Mexican economy, with total industrial output shrinking by 1.3% across all of 2025. This year-end uptick suggests a potential shift in momentum, though the manufacturing sector's recovery remains fragile.
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