The Greek industrial sector reports a significant 4% increase in production for December, although exports are declining and energy costs remain disproportionately high compared to European competitors.
The Greek industrial sector has shown impressive momentum, with a reported 4% increase in industrial production in December, according to the latest industrial developments report by IOBE. This growth stands in stark contrast to a modest 1.4% increase within the EU during the same timeframe. Individual industry sectors displayed positive trends, particularly manufacturing, which witnessed a 3.8% growth. However, the mining and quarrying sector experienced an exceptional growth surge of 68.2%, showcasing a remarkable shift in this area. Despite these positive outputs, the report highlights underlying challenges in the industry, including a noted decline in exports.
One of the critical concerns outlined in the report is the ongoing issue of energy costs. Although there was a reduction in energy expenses year-on-year, the significant disparity in electricity prices keeps Greek manufacturers at a competitive disadvantage compared to their European counterparts. The current electricity costs remain more than double those paid by competitors in other EU nations. This high operational cost is a significant brake on the potential benefits that might have been derived from the production growth.
In conclusion, while the Greek industrial sector demonstrated a strong growth performance in December 2025, the dual challenges of export stagnation and high energy costs raise concerns about the sustainability of this growth. Addressing these issues will be crucial for the long-term viability and competitive position of the Greek manufacturing industry within the European market.
