ArmInfo. Armenia's industrial sector started 2026 in a deep recession. According to data from the RA Statistics Committee, in January 2026, the industry's annual decline increased from 41.3% to 56.7%, reaching 229.5 billion drams. This trend was driven by a decline in the mining sector and an accelerated decline in manufacturing.
Specifically, the mining industry recorded an annual decline of 6.1% (compared to a 0.8% increase the previous year), totaling 51.6 billion drams. In the manufacturing industry, the annual decline accelerated from 54.2% to 69.3%, amounting to 129.7 billion drams.
Severe declines were recorded in the production of machinery and equipment, coke and refined petroleum products (almost 2-fold), food products (74.8%), other non-metallic mineral products (63.1%), furniture (60.6%), finished metal products (57.7%), wood and cork products (50.7%), jewelry (43.2%), leather goods (48.9%), and beverages (48.7%).
Growth was observed in the chemical industry (59.3%), pharmaceuticals (7.8%), and electrical equipment (79.5%). In the manufacturing sector, food products led the way in terms of production volume in January 2026, with 34.9 billion drams, followed by basic metals with 26 billion drams, cigarettes with 21.6 billion drams, and beverages with 12.5 billion drams.
According to statistics, supplies of electricity, gas, steam, and air conditioning increased by 2.6% year-on- year in January 2026 (compared to a 2% increase a year earlier), reaching 45.6 billion drams. Power generation, transmission, and distribution decreased by 0.6% year-on-year, while gas production and distribution of gaseous fuels through gas supply systems increased by 12.7%. Revenues from water supply, waste treatment and recycling, and the recovery of secondary raw materials decreased by 5% year-on-year in January 2026 (compared to a 4.6% decline a year earlier), reaching 2.5 billion drams.
It should be noted that throughout 2025, Armenia's industrial sector demonstrated a growth of 4.7% (the same as the previous year), amounting to 3.3 trillion drams ($8.6 billion). In particular, the mining industry and open-pit mining reversed its dynamics from an 8.6% decline in 2024 to 6.4% growth in 2025, reaching a volume of 514.7 billion drams. The volume of the manufacturing industry slowed in annual growth from 6.5% to 3.3%, amounting to 2.4 trillion drams. (The average exchange rate of the dram in January 2026 was AMD379.98 / $ 1).
