Industrial production rose by 7.4 per cent in 2007, according to provisional figures from the Central Statistics Office.
The CSO said turnover increased 6.3 per cent in the same period.
Production in the "Modern" sector, which includes high technology and chemicals, rose by 9 per cent, while production in the "Traditional" sector rose by 2.5 per cent.
Manufacturing sector production was 0.8 per cent higher in December than in same month the previous year, but turnover in the manufacturing sector was 3.8 per cent lower.
The seasonally adjusted volume of industrial production for manufacturing industries for the three-month period October to December 2007 was 2.4 per cent lower than in the preceding three-month period.
In the same three-month period, turnover was down 2.4 per cent on a seasonally adjusted basis, the CSO said.