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Global Production Slowed in Second Quarter

Weak consumer demand is impacting production flows, a United Nations report said.

GENEVA — Apparel production in developing countries increased 3.8 percent in the second quarter of 2012 compared with the same period last year, with Turkey and India posting declines and China a marked slowdown in growth on slow demand in recession-hit Europe, a United Nations report said.

“The decrease in demand for consumer goods in external markets has to some extent altered the growth patterns of developing economies,” it said.

Apparel production in India fell 6.2 percent, in Turkey it dropped 2.7 percent and in the world’s biggest producer, China, growth slowed to 6.3 percent, down from 10 percent expansion registered in the first quarter, the report said.

Speaking at a regional meeting of the World Economic Forum in Tianjin, China, last month, Chinese Premier Wen Jiabao said his country’s economy “is under notable downward pressure,” but added it will still meet the official growth target of 7.5 percent in 2012.

Industrialized nations also posted decreases in apparel output in the second quarter, including a 9 percent drop in Italy and a 2 percent decline in the U.S., said the report by the Vienna-based U.N. Industrial Development Organization.

Global apparel production grew 0.2 percent in the period, with output increasing 3.8 percent in developing nations and declining 6.1 percent in industrialized countries.

However, global textile output delivered better results, with world production increasing 3.9 percent. Developing countries notched a 7.9 percent growth rate, but industrialized nations saw output fall 4.7 percent. Bucking the trend, the U.S. managed a 1.6 percent gain in the quarter.