FX.co ★ Russia Manufacturing Shrinks the Least in 3 Months

The S&P Global Russia Manufacturing PMI increased to 48.7 in August 2025, an improvement from 47.0 in July, marking the highest level since May despite representing a third consecutive month of declining factory activity. Production decreased at a reduced pace, and new orders fell at the smallest rate in three months. In a positive development, employment saw growth again as companies sought to extend working shifts. The backlog of work decreased for the seventh month, although the decline was gentler compared to previous months. Export demand continued to show weakness, with new foreign orders decreasing for the fifth time in the past six months. Purchasing activities slowed slightly, and vendor performance remained largely stable for the fifth consecutive month. Regarding prices, input costs saw one of the slowest rises recorded due to weak demand, leading companies to lower their selling prices for the first time in nearly three years. Looking forward, business confidence improved with plans for advertising and product launches, although it remained close to its lowest point since late 2022.