Manufacturing emerges as Uzbekistan's industrial growth engine

Oil&Gas Materials 9 August 2026 01:00 (UTC +04:00)
Manufacturing emerges as Uzbekistan's industrial growth engine
Niljan Bakhshaliyeva
Niljan Bakhshaliyeva
Uzbekistan Economics Correspondent Read more

BAKU, Azerbaijan, August 9. Uzbekistan's industrial sector maintained steady growth in the first half of 2026, with manufacturing remaining the dominant driver of production despite continued declines in natural gas and crude oil output.

The figures were released by Uzbekistan's National Statistics Committee.

According to the committee, industrial production totaled 637.2 trillion soums (about $53.3 billion) during January–June 2026, representing an 8% increase compared with the same period last year.

Manufacturing accounted for the largest share of industrial output at 549.7 trillion soums (around $46 billion), or 86.3% of total production, followed by mining and quarrying at 42.4 trillion soums (approx. $3.5 billion) (6.7%), electricity, gas, steam and air conditioning supply at 41.7 trillion soums (about $3.4 billion) (6.5%), and water supply, sewerage and waste management at 3.3 trillion soums (around $276.5 million) (0.5%).

Among key industrial products, natural gas production declined to 18.3 billion cubic meters from 21.9 billion cubic meters a year earlier, while crude oil output fell to 313,800 tons from 323,900 tons. Coal production also decreased to 2.5 million tons, compared with 3 million tons in the first half of 2025.

At the same time, output of several manufactured products increased. Portland cement production rose to 10.1 million tons from 9.9 million tons, gasoline output climbed to 614,200 tons, and diesel fuel production increased to 568,000 tons.

Uzbekistan's automotive industry also expanded during the reporting period. Passenger vehicle production increased to 235,794 units, up from 208,975 a year earlier, while truck production rose to 2,751 units from 2,268.

Among passenger car models, production of the Chevrolet Cobalt increased to 82,951 units, BYD output nearly doubled to 13,405 units from 7,000, and KIA production rose to 15,184 units from 11,763. Output of the Chevrolet Damasdeclined to 42,663 vehicles from 45,992.

Electricity generation reached 44.1 billion kilowatt-hours, an increase of 5.7% year on year. Production by small power producers rose sharply to 14.3 billion kilowatt-hours, while output from large power plants declined to 29.8 billion kilowatt-hours.

According to Trend's analysis, Uzbekistan's industrial performance in the first half of 2026 highlights the country's ongoing structural transition from resource extraction toward higher value-added manufacturing. While natural gas production fell by 16.4%, coal output declined 16.7%, gas condensate production dropped 19.7%, and crude oil production decreased 3.1%, overall industrial output still expanded by 8%, underscoring the growing role of manufacturing in supporting economic growth.

The automotive industry remained one of the strongest contributors to industrial expansion. Passenger vehicle production increased by 12.8%, driven by robust growth in newer brands such as BYD, whose output surged 91.5%, and KIA, which expanded 29%. The continued rise in domestic automobile production, alongside higher output of cement and refined petroleum products, suggests that investment in manufacturing capacity and infrastructure is offsetting weaker performance in the extractive industries.

The energy sector also reflects Uzbekistan's changing industrial landscape. Although total electricity generation increased 5.7%, production by small power producers climbed nearly 37%, while generation by large power plants declined by about 4.6%. This shift indicates increasing participation of private and smaller-scale electricity producers, consistent with the government's strategy to diversify power generation, expand renewable energy capacity and reduce reliance on traditional centralized production. Together, these trends point to a more diversified industrial base that is increasingly driven by manufacturing, private investment and energy sector reforms rather than hydrocarbon extraction alone.

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