Industrial production increased by 11.8% in May

Industrial production in Russia increased by 3.2% in the first five months of 2021 compared to the same period last year. In May, the figure rose by 11.8% yoy, but decreased by 2.1% yoy, Rosstat reported. Industrial production growth in April was adjusted from 7.2% to 7.6% in annual terms.

The Ministry of Economy named the manufacturing industries as the main driver of recovery. “Their growth by May 2020 amounted to 11.4%, by May 2019 – 6.3%. The pre-pandemic level in the manufacturing industry in May was exceeded by 2.7% (seasonally adjusted), ”reads the ministry’s review (.pdf). The department reports that in all sectors of the manufacturing industry, production exceeds the level of May 2019 and 2020.

The main contribution comes from the chemical (10.7% yoy) and metallurgical (12.9%) sectors. There is an increase in the woodworking (20.4%), light (13.1%) and food (4.7%) industries, as well as the machine-building complex (21.2%).

Extraction of minerals “makes a negative contribution” to the indicator of industrial production due to the current restrictions on production. At the same time, according to Rosstat, industrial production in mining increased by 12.3%. Growth was recorded for the first time since February 2020. However, according to the results of five months, industrial production in mining decreased by 2.4% in annual terms. “A positive contribution to the indicators of mining in general relative to May 2019 is made by the extraction of metal ores (0.6% in May 2021 to May 2019) and other minerals (1.9%),” the Ministry of Economy said in a review.

Rosstat earlier revised the rate of GDP decline in the first quarter from 1% to 0.7%. The reasons for this improvement are the revision of data on industrial production (plus 0.4%), on wholesale trade (1.1%), on freight turnover (0.1%) and passenger turnover (0.4%), as well as clarification of the primary statistical reporting of enterprises and receiving information from the Central Bank.

More details about GDP – in the material of “Kommersant” “GDP wants to grow, but cannot.”

Leave a Reply

Your email address will not be published. Required fields are marked *