Ukraine sees industrial output decline in January

Industrial production in Ukraine in January 2021 decreased by 4% without calendar adjustment year-on-year (y-o-y) after a 4.8% increase in December 2020.

Industrial production in January 2021 fell by 2.7% y-o-y with calendar adjustment, according to the State Statistics Service of Ukraine.

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Industrial production in January 2021 compared to December 2020 decreased by 16.1% without seasonal adjustment and by 3.3% with seasonal adjustment.

In terms of industries and sectors, mining production fell by 3% in January 2021 y-o-y and the processing industry saw a 6.5% decline, however, the supply of electricity, natural gas, steam and conditioned air production increased by 3.2%.

Split by major industrial groups, production of intermediate consumption goods remained at the same level, while consumer durables showed an increase of 7.4%.

Capital goods demonstrated a decline in production by 19.4%, while production of non-durable goods for consumers fell by 7.5%.

Background

• Ukraine's gross domestic product (GDP) in the third quarter of 2020 declined by 3.5% y-o-y, according to the State Statistics Service.
• Ukraine saw a slowdown in its industrial production to 0.3% in November 2020 y-o-y without calendar adjustment, after a 5% decrease in October 2020 y-o-y.
• Based on the results of 11 months of 2020, the Ministry for Development of Economic, Trade and Agriculture estimated the GDP decline at 4.7%, which was generally in line with the projected trend.
• On December 29, 2020, the ministry projected a 4.6% increase in the country's GDP in 2021.
• On December 18, 2020, Prime Minister Denys Shmyhal said the domestic economy might decline by no more than 5% of GDP in 2020.
• The decline in Ukraine's GDP in the 10 months of 2020 slowed to 5.2%, from 5.5% reported in January-September 2020.
• Industrial production in December 2020 grew by 4.8% against December 2019.
• On January 11, 2021, the Ministry for Development of Economy, Trade and Agriculture said Ukraine's growth domestic product might drop by 3% in the first quarter of 2021.