Croatia and Serbia report mixed industrial production trends

Industrial production in Croatia saw a 5.2 percent annual increase in August, though monthly figures showed a slight decline of 0.4 percent compared to July. The growth was driven largely by intermediate goods and energy sectors, while capital goods production fell by 4.2 percent.

In the pharmaceutical sector, the Economic Institute Zagreb reports a 4.5 percent decrease in production during the first half of the year. Challenges facing this industry include global supply chain instability, rising energy costs, and strategic repositioning in global markets, particularly regarding sales in the US and Russia.

In Serbia, industrial production in August 2026 decreased by 0.5 percent compared to August 2025. While the mining sector grew by 6.7 percent, the manufacturing sector saw a decline of 1.8 percent. Overall, Serbian industrial production for the January-August period remains slightly up by 0.1 percent compared to the previous year.