Industrial production in Serbia fell by about 5.7 percent in December 2025 compared with the same month a year earlier, according to the Statistical Office of the Republic of Serbia. On a broader annual basis, total industrial production for 2025 was modestly higher—up about 0.9 percent compared with 2024, reflecting a slowdown in activity toward the end of the year.
The data show that manufacturing output was a key driver of the December decline, with production in this central sector down by roughly 8.3 percent year-on-year. This contrasts with activity in electricity, gas, steam and air conditioning supply, where output grew marginally by about 0.7 percent in December. The negative figures in manufacturing late in the year signal weakening demand conditions and increased cost pressures in industrial supply chains.
Looking across 2025 as a whole, industrial production growth was positive but subdued, with the overall annual index showing a 1.0 percent increase and manufacturing specifically expanding around 1.2 percent compared with 2024. These annual figures point to resilience in Serbia’s industrial base over the year, yet highlight that gains were uneven and concentrated in earlier months rather than the final quarter.
Monthly and quarterly indicators during 2025 showed fluctuating performance: industrial production in November 2025 was down by about 3.4 percent year-on-year, and earlier in the year some months recorded modest growth or contraction compared with the prior year. Outside of Serbia, broader European industrial activity also experienced headwinds at the end of 2025, with major regional producers reporting output declines in December, underscoring a wider slowdown in manufacturing and capital goods sectors.
The uneven pattern of industrial output in Serbia carries implications for growth prospects, export competitiveness and labour market conditions. While modest annual growth suggests the sector avoided outright contraction in 2025, the sharper December downturn points to cyclical weakness, requiring monitoring of demand trends, investment flows, and input cost inflation in the months ahead.
Contextual data indicates that Serbia’s industrial sector has generally grown modestly over recent years, with production rising at an average pace through 2025, but with several individual months showing weakening relative to the previous year. This mixed performance underscores the challenge of sustaining momentum in core manufacturing and energy-intensive industries amid shifting domestic and global economic conditions.
