Russia: Industrial output grows at the fastest pace since the start of the war in December
Latest reading: Industrial production rose 8.2% year on year in December (November: +3.5% yoy). The figure marked the best reading since January 2022, around the start of the Russia-Ukraine war. Still, the upturn reflects a redirection of resources toward the war effort, as manufacturing production surged by double digits in December. Moreover, mining and water supply rebounded. Less positively, water production swung into contraction. Meanwhile, annual average industrial production growth rose to 4.6% in December (November: +4.2%), signaling an improving trend in the industrial sector.
On a monthly basis, industrial production increased 2.4% in seasonally adjusted terms in December, significantly above November’s 0.4% expansion and marking the best result since August 2020.