Industrial Production and Capacity Utilization for December 2000 - Statistical Data Included

Federal Reserve Bulletin, Feb, 2001

Released for publication January 17

Industrial production fell 0.6 percent in December after two months of smaller losses. After having slowed in the third quarter, industrial output contracted at an annual rate of 1.1 percent in the fourth quarter, the first negative quarterly reading since 1991. Manufacturing output declined 1.1 percent in December, with cutbacks in many industries. Output at utilities surged 6.5 percent in response to extremely cold weather, and production in mining edged up 0.3 percent. At 147.3 percent of its 1992 average, industrial production was 3.1 percent higher than in December 1999. The rate of capacity utilization for total industry fell to 80.6 percent in December, a level 1 1/2 percentage points below its 1967-99 average.

[Graphs omitted]

Industrial production and capacity utilization, December 2000

                     Industrial production, index, 1992 = 100

                                                          Percent
                                                          change

    Category                                2000

                                                          2000(1)

                 Sept.(r)   Oct.(r)   Nov.(r)   Dec.(p)   Sept.(r)

Total             149.0      148.5     148.1     147.3        .2

Previous
  estimate        149.1      148.9     148.6       ...        .3

Major market
  groups
Products,
    total(2)      136.7      136.3     136.4     136.1        .0
  Consumer
    goods         123.8      122.7     122.8     122.9        .0
  Business
    equipment     199.5      200.2     200.3     199.4        .9
  Construction
    supplies      143.1      142.2     140.7     137.7        .3
Materials         171.3      170.8     169.3     167.6        .5

Major industry
  groups
Manufacturing     155.1      154.8     153.9     152.2        .3
  Durable         198.4      197.2     196.0     193.5        .8
  Nondurable      116.0      116.4     115.8     114.7       -.3
Mining            100.4      100.4     100.3     100.6       -.6
Utilities         121.7      119.4     123.9     132.0       -.3

                              Capacity utilization, percent

                                                 1999     2000

                 Average,     Low,     High,
                 1967-99      1982    1988-89    Dec.     Sept.(r)

Total              82.1       71.1      85.4      81.7      82.4

Previous
  estimate          ...        ...       ...       ...      82.5

Manufacturing      81.1       69.0      85.7      81.0      81.7
  Advanced
    processing     80.5       70.4      84.2      79.8      81.6
  Primary
    processing     82.5       66.2      88.9      85.0      83.0
Mining             87.4       80.3      88.0      84.5      86.4
Utilities          87.5       75.9      92.6      90.0      91.0

                 Industrial production, index, 1992 = 100

                              Percent change

    Category

                            2000(1)             Dec. 1999
                                                   to
                 Oct.(r)    Nov.(r)   Dec.(p)   Dec. 2000

Total               -.3        -.3       -.6       3.1

Previous
  estimate          -.1        -.2       ...       ...

Major market
  groups
Products,
    total(2)        -.3         .1       -.2       2.6
  Consumer
    goods           -.8         .1        .0        .4
  Business
    equipment        .3         .1       -.4      10.5
  Construction
    supplies        -.7       -1.1      -2.1      -3.1
Materials           -.3        -.9      -1.0       4.1

Major industry
  groups
Manufacturing       -.2        -.6      -1.1       2.6
  Durable           -.6        -.6      -1.2       6.0
  Nondurable         .3        -.5       -.9      -1.6
Mining               .0        -.1        .3       1.9
Utilities          -1.9        3.8       6.5      12.4

                    Capacity utilization,         MEMO
                          percent               Capacity,
                                                 percent
                             2000                change,
                                                Dec. 1999
                                                   to
                 Oct.(r)    Nov.(r)   Dec.(p)   Dec. 2000

Total              81.9       81.4      80.6       4.6

Previous
  estimate         82.1       81.6       ...       ...

Manufacturing      81.2       80.4      79.1       5.0
  Advanced
    processing     81.0       80.4      79.6       6.7
  Primary
    processing     82.6       81.5      79.2       1.6
Mining             86.5       86.5      86.9       -.9
Utilities          89.0       92.1      97.9       3.3

NOTE. Data seasonally adjusted or calculated from seasonally
adjusted monthly data.

(1.) Change from preceding month.

(2.) Contains components in addition to those shown.

(r) Revised.

(p) Preliminary.

MARKET GROUPS

The index for consumer goods was unchanged in December, with decreases in many categories offset by a surge in the output of consumer energy products. The production of durable consumer goods fell 1.5 percent and was pulled down for a third month by a drop in the production of automotive products. The output of other durable goods also fell for a third month and was down at an annual rate of 4.0 percent in the fourth quarter. The production of nondurable consumer goods other than energy products ticked down 0.1 percent in December.