By Anthony Harrup

MEXICO CITY -- Mexican industrial production rose in November from a year earlier, with increases in factory output and construction offsetting a continued decline in oil and gas production.

Industrial production was up 1.3% from November 2015, its first increase in three months, the National Statistics Institute said Wednesday. Production was unchanged from October in seasonally adjusted terms.

Manufacturing output rose 4.3% from a year before, with gains in food processing, metals, textiles and transport equipment. Construction was 3.6% higher as housing and other buildings offset lower public works construction, and utilities rose.

Oil and gas production fell 10% as state oil company Petróleos Mexicanos struggled to maintain output, while mining production rose.

Industrial production lagged behind the private consumption of goods and services last year, with overall output in January through November unchanged from the same period in 2015. Economic growth is expected to have ended 2016 at around 2.1%.

The start of 2017 has seen increased worries about manufacturing, which accounts for around nine-tenths of Mexico's exports. The auto industry in particular has come under scrutiny after Ford Motor Co. canceled plans to invest $1.6 billion in a new assembly plant, and other auto makers have been criticized by U.S. President-elect Donald Trump for building cars in Mexico.

Mexico produced a record 3.47 million cars and light trucks in 2016, 2% more than the previous year, while exports were little changed at 2.77 million units. The industry depends heavily on the U.S. market, which received more than 77% of the auto exports. Domestic new car sales also set a record at 1.6 million units.

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(END) Dow Jones Newswires

January 11, 2017 10:02 ET (15:02 GMT)

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