Romania's Industrial Output Falls for Fifth Straight Month in May 2026

In May 2026 Romania's industrial production dropped 2.8% from April and 5.3% year‑on‑year, marking the fifth consecutive month of decline. The decline was steeper in manufacturing, which fell 7.9% YoY, while extraction slipped 5% and energy, gas and hot water output fell 3.8%. Overall, industrial output now accounts for about 15.8% of GDP in Q1 2026, down from roughly 23‑24% a decade earlier.

Analysts link the drop to higher energy costs, inflation and weaker orders from Germany, Romania’s main export market. The downturn places Romania among the EU’s weakest performers, surpassed only by Ireland’s 19% fall. The BCR Manufacturing PMI rose to 48.8 in June but remains below the 50‑point expansion threshold, indicating continued contraction.