Russia's industrial production growth slowed to 0.9 percent year-on-year in May 2019 from a near two-year high of 4.6 percent in the previous month and below market expectations of 1.5 percent. That was the smallest increase in output since a contraction was seen in December 2017, as manufacturing shrank 1.0 percent (vs 4.7 percent in April). In addition, growth slowed for both extraction of raw materials (2.8 percent vs 4.2 percent) and distribution of water, sewage (0.8 percent vs 7.4 percent). Production and distribution of electricity, gas rose at a faster 1.8 percent in May, compared to 1.0 percent in April. Industrial Production in Russia averaged 3.43 percent from 2000 until 2019, reaching an all time high of 17.70 percent in April of 2000 and a record low of -16.90 percent in January of 2009.
Industrial Production in Russia is expected to be 1.70 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Industrial Production in Russia to stand at 2.10 in 12 months time. In the long-term, the Russia Industrial Production is projected to trend around 3.20 percent in 2020, according to our econometric models.