Italy’s industrial production fell by 0.6% month-on-month in January 2026, following an upwardly revised 0.5% drop in the previous month, against market expectations of a 0.3% increase. This marked the second consecutive monthly decline, amid lower output for capital goods (-2.2% vs 0.7% in December), intermediate goods (-0.8% vs -0.2%), and consumer goods (-0.6% vs -0.7%). Meanwhile, growth in energy production accelerated (4.5% vs 0.2%). On an annual basis, industrial output decreased by 0.6%, reversing a 2.7% rise in December. The drop was due to decreases in consumer goods (-3.8% vs 0.1%), intermediate goods (-1.6% vs 2.8%), and capital goods (-0.3% vs 7.3%), which more than offset a sharp rebound in energy production (10.4% vs -0.1%). Among industries, the steepest declines were recorded in the manufacture of coke and refined petroleum products (-12.9%), chemical products (-7.2%), and other manufacturing industries (-5.7%).