Belgian industrial capacity utilization hits lowest level since 2020

Industrial capacity utilization in Belgium fell to an average of 73.1% during the third quarter of 2026, according to data from the National Bank of Belgium. This represents the lowest level of production activity since the onset of the COVID-19 pandemic in April 2020.

Approximately 27% of manufacturing machinery across the country currently sits idle. This decline is notably sharper in Wallonia, where utilization is at 67.1%, compared to 75.3% in Flanders. The slump is most pronounced in the metal industry, iron and steel processing, building materials, and machinery manufacturing.

The contraction has significant implications for employment. The technology sector alone has lost 20,000 jobs over the last three years. Industry federation Agoria has warned that prolonged stagnation below 80% utilization is unprecedented and could lead to further job losses. Overall, the industrial sector employed 538,500 people in the second quarter of this year, a decrease of 8,200 compared to the previous year.