Anastasia Levchenko, a Researcher of the Industrial Organization and Infrastructure Economics Department at the Gaidar Institute, in a commentary for RBC assessed the situation in Russian industry and prospects for certain sectors amid a slowdown in economic activity.
According to the expert, data from early 2026 indicate a gradual exhaustion of the recovery growth, which in recent years was supported primarily by government spending, defense procurement, and import substitution programs. The most challenging situation is in metallurgy, construction materials production, the automotive industry, and a number of other civilian sectors, where companies face declining demand and a reduction in investment activity.
"Today, industrial growth is increasingly concentrated in a limited number of sectors, while a significant portion of the civilian sector is experiencing serious pressure from weak domestic demand and high costs," noted Anastasia Levchenko.
The expert noted that certain segments of mechanical engineering, electronics, pharmaceuticals, and equipment manufacturing, whose development is supported by government programs and growing demand for domestic products, continue demonstrating positive dynamics. However, long-term sustainability of industrial growth will depend on expanding funding sources, increasing labor productivity, implementing new technologies, and restoring investment activity in the civilian sectors of the economy.