16 July 2010
The State Statistics Committee reported yesterday that industrial production growth slowed to 8.9% y-o-y in June, vs. 12.7% y-o-y in May and 17.4% y-o-y in April. Over 1H10, industrial output rose 12% y-o-y. Mykyta Mykhaylychenko: The slowdown was the result of significant deceleration in metals production to 6.7% y-o-y, from 21.2% y-o-y in May, on the back of a 27% decline in metal export prices in May-June. As metal prices have remained flat so far in July, we do not expect growth in industrial production to accelerate substantially in the coming months.