Brazil's industrial production rose 1.8% month-over-month in January 2026, the strongest gain since June 2024 and above the 0.7% forecast. Output is 1.8% above pre-pandemic levels from February 2020 but still 15.3% below the May 2011 peak. The expansion covered all four major categories and 19 of 25 sectors. Chemical products rose 6.2%, motor vehicles, trailers, and bodies rose 6.3%, and coke, petroleum derivatives, and biofuels rose 2.0%. Extractive industries rose 1.2%, metallurgy rose 4.1%, machinery, equipment, and electrical materials rose 6.5%, beverages rose 4.1%, metal products rose 2.3%, and computer, electronic, and optical equipment rose 3.3%. Machinery and equipment fell 6.7% for the second consecutive month, exerting the main downward pressure. Among major categories, durable consumer goods rose 6.3%, capital goods rose 2.0%, intermediate goods rose 1.7%, and semi-durable and non-durable consumer goods rose 1.2%.