During the first quarter, industrial production in Mexico showed an annual growth rate of 2.3 percent, as a result of the adjustment made in the budget for Petróleos Mexicanos (Pemex). This resulted in an additional production decline, with low oil prices pushing down mining sector growth.
This was stated by the specialist and coordinator of the Bachelor of International Business Bilingual School of Economics at the Autonomous University of the State of México (UAEM) Judith Huerta Quiroz, who said that the weak dynamism of industrial production is influenced by current low performance conditions, especially in the construction sector.
She stressed that these results show the disparity in economic growth in the economy of states and sectors. This is the case in Querétaro, where the construction sector represents 13 percent of its economic activity and, during this quarter, fell 6 percent from the previous year.
Moreover, Huerta Quiroz said that low levels of oil and declining oil production has undermined economic conditions in some states. Of the 32 states of the country, 12 showed that their economic growth slowed in December and five showed negative figures for the first quarter of this year.
Of the latter group, Campeche continues to be in recession, with an average rate of -3.9 percent; Chiapas and Mexico City registered a growth of -3.2 and -1.0 percent respectively, and finally Guerrero registered -0.4 percent.
Huerta Quiroz said that the decline in the performance of some states is mainly due to the economic situation that exists, especially in the U.S. economy, where most exports have not grown optimally which has an impact on the Mexico’s manufacturing sector.