Russia Cracks - Joe Blogs

[TexasTowelie]

Russia’s manufacturing sector is now in serious trouble.

The latest data from S&P Global shows factory activity has been in decline for 11 consecutive months, with April’s PMI falling further into contraction. Output is down, new orders are weakening, exports are falling, and employment is now being cut at the fastest pace in years.

But this isn’t just about factories.

Manufacturing is a key part of Russia’s domestic economy — especially under heavy sanctions. With imports restricted and access to global markets limited, Russia needs its internal production more than ever. Instead, it’s shrinking.

Rising costs for raw materials, shipping, and logistics are squeezing businesses, while falling demand is hitting revenues. That combination is creating a dangerous cycle of lower production, job losses, and reduced spending across the wider economy.

And after nearly a year of contraction, this is no longer a short-term issue — it’s a clear sign of deeper structural weakness.

In this video, we break down:
– Why Russia’s factories are failing
– The impact of sanctions on manufacturing
– What falling employment means for the wider economy
– And why this could signal bigger problems ahead