Qatar: Industrial activity dips in December
Latest reading: Industrial output fell 2.5% year on year in December (November: +5.3% yoy). The decline reflected a higher base of comparison, with industrial output having risen in December 2023 after shrinking in the prior two months.
Looking at the details of the release, manufacturing output expanded at the greatest speed since May 2023, while energy output—which normally makes up about four-fifths of industrial production—contracted at the quickest speed in five months.
The print means that industrial output decreased 1.8% over 2024, down from 2023’s 1.4% rise and the worst result in four years. Both the manufacturing and energy sectors contracted.
Outlook: Industrial output is unlikely to gain significant sustained momentum until 2026, when liquified natural gas (LNG) production is to shoot up as the first phase of the North Field expansion project is completed.