According to the results of the first half of 2025, industrial production in Ukraine decreased by 3.9% compared to the same period last year. This was reported by the head of the Verkhovna Rada Committee on Finance, Danilo Hetmantsev. He noted that in the second quarter, the rate of decline slowed down: while in the first quarter the decrease was 6.1%, in the second it was 3.9%.
This is reported by Finway
Most Significant Decline in the Extractive Industry
A particularly significant decrease was observed in the extractive sector, where production volumes fell by 12.6%. The worst situation occurred in the extraction of hard and brown coal, which decreased by 36.6%, as well as in oil and gas extraction, where the decline reached 11.2%. According to Hetmantsev, these results forced Ukraine to increase fuel imports ahead of the heating season and led to significant problems in the oil refining industry, where production fell by 16.6%.
Situation in the Manufacturing Industry and Machine Engineering
In the manufacturing industry, the decline in the first half of the year was less pronounced — only 0.6%. At the same time, in some sectors of this industry, particularly in machine engineering, production of certain types of products decreased by 13-37%.
“Due to the full-scale war, Ukraine has lost almost a third of its industrial production. The recovery of the industry recorded in the results of 2023-2024 allowed for some reversal of this decline. However, as this year’s trends show — due to a number of restraining structural factors and security risks — this recovery is unstable,” added Hetmantsev.
Overall, Ukrainian industry continues to face difficulties due to structural problems and security threats, which affect the pace of its recovery even after a partial improvement in 2023-2024.