Freight Transport Market in Hungary - Consequences and Indicators of Recession

The following chart will accompany my short analysis that will appear in the Railway Market magazine. Two ideas make this chart very interesting for investors. Firstly, the transport sector swallows up a great part of equity and debt available in Hungary, so the performance of the sector is also interesting. Secondly, as Hungary as an important manufacturing country, the transport figures are also important in the evaluation of the business cycle.

The upper charts who the weight lifted (tonnage put on vechicles) in Hungary (domestic and international relations). The lower charts (not so reliable because of the shortcomings of statistical data gathering) show the transport performance in Hungarian territory, also in domestic and international ordering.

The decline in transport lifted in Hungary shows decrease of Hungarian manufacturing, and also the decrease in fuel use accompanied it. Domestic recovery has not started yet in 2009Q4. However, most of the international transport performance is only transit, mainly from East (raw materials and fuels) and to West (finished goods from Balkans and beyond). The recovery in international trade and manufacturing is visible in that chart.