Russia: Industrial output rebounds in June but growth remains slow
July 16, 2013
In June, industrial production rose 0.1% over the same month last year, which contrasted both the 1.4% drop seen in May as well as market expectations of a 0.2% fall. The rebound stemmed from faster growth in mining and quarrying as well as from a lower pace of contraction in manufacturing - the largest contributor to industrial output.
On a month-on-month seasonally adjusted basis, industrial output rose 0.1% (May: -0.7% mom). Despite the annual expansion, the trend continues to point downwards, with average annual growth in industrial production falling to 1.1% from 1.3% in May.
The government sees industrial output expanding 3.4% in 2013. FocusEconomics Consensus Forecast panellists are less optimistic and expect industrial production to increase 2.5% in 2013, which is down 0.3 percentage points from last month's forecast. For 2014, the panel expects industrial production growth to accelerate to 3.2%.
Author: Armando Ciccarelli, Head of Data Solutions