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Russian manufacturing growth strongest in 3 months

by Agency Report
June 1, 2023
in Business Scene
0
Russian manufacturing growth strongest in 3 months
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Russia’s factory sector grew at the sharpest pace in three months amid quicker expansions in new orders and output, the purchasing managers’ survey data from S&P Global showed on Thursday.

The S&P Global Russia Manufacturing Purchasing Managers’ Index (PMI) rose to 53.5 in May from 52.6 in April.

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A reading above 50 indicated expansion in the sector.

Output grew for the tenth successive month in May, and the rate of growth accelerated to the joint-fastest rate since March.

The upturn was attributed to greater demand conditions and a further uptick in new order inflows, which were among the sharpest in just over four years.

Meanwhile, new export orders dropped in May on the backdrop of challenging demand conditions in key export markets.

On the price front, input price inflation accelerated further in May, this was linked to higher supplier prices and unfavourable exchange rate movements.

Nonetheless, the rate of charge inflation eased.

Strong client demand and an increase in new orders led to a significant increase in employment.

The rate of job creation was the steepest since November 2000.

Russian manufacturers increased their input purchasing activity at the fastest pace for four months in response to new order inflows.

In spite of a decline in confidence in May among Russian manufacturers, businesses were optimistic about output projections for the upcoming year. (dpa/NAN)

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