Manufacturing in Russia grew at its fastest pace in more than 6 years

Factory activity in Russia grew at the fastest pace in more than six years in September, and employment in the sector increased at the fastest rate in more than two decades, a survey showed on Monday.

The Standard & Poor’s Global Manufacturing Purchasing Managers’ Index rose to 54.5 from 52.7 in August, above the 50-point level that separates growth from contraction. This is the highest reading since January 2017.

“Strong customer demand, new product launches and successful import substitution are reported to have driven this rise… The acceleration in growth was driven by domestic demand, with new export orders increasing at a slower and only marginal pace,” S&P Global said.

The growth of the sector during more than 19 months since the start of the comprehensive Russian invasion of Ukraine has depended largely on domestic demand.