World manufacturing grew by 4.2% in fourth quarter but lowest in 2011 – UNIDO

World manufacturing output grew by 4.2% in the fourth quarter of 2011 compared to the same period in 2010. But the growth was the lowest quarterly growth rate in 2011, according to a report released March 1, 2012 by the United Nations Industrial Development Organization (UNIDO).

China and the United States were the two main economies that contributed to the ongoing growth. Manufacturing output of the United States grew by 4.3% while China recorded a strong growth of 13.1%.

The report said world manufacturing output had an impressive start in the first quarter of 2011 indicating a recovery from the financial crisis of 2008-2009 but however this “process stalled since the second quarter, especially due to the deteriorated financial situation in the Euro-zone countries.”

UNIDO observed that the fourth quarter of 2011 showed signs of a slow-down in manufacturing production growth in developing countries, where for the first time after the financial crisis, the growth rate was below 10%.

The strong performance of the manufacturing of the transport and automotive industry in developing and industrialized countries was the main driver of overall growth, it noted.

The overall growth of the manufacturing output of industrialized countries was estimated merely at 2% for the fourth quarter, the report indicated.

By Ekow Quandzie