Industrial production declines while construction costs continue to rise, animal production sees an increase

Economic indicators in Turkey are being shaped in light of the latest data released in three key areas. Current statistics published for the December 2025 period determined that construction costs and animal production are on the rise, while industrial production has shown a decline on an annual basis.

Construction cost index continues to rise

In December, the construction cost index increased by 24.50% compared to the same month of the previous year. On a monthly basis, an increase of 1.17% was recorded. Material costs rose by 21.47% and labor costs by 30.67% compared to the same month last year. This increase was felt more rapidly, particularly in building construction. While the annual increase in building construction costs reached 24.55%, material expenses rose by 21.70% and labor expenses by 30.16%.

In non-building structures, the increase was more limited. In December 2025, the construction cost index for non-building structures remained stable compared to the previous month, showing a modest increase of 0.03%, and rose by 24.37% on an annual basis. Specifically, while material costs fell by 0.53% monthly, an increase of 1.20% was recorded in labor.

RISE IN ANIMAL PRODUCTION DRAWS ATTENTION

The number of cattle reached 17 million 709 thousand in 2025 with a 4.3% increase, while the number of bovine animals similarly increased by 4.3% to 17 million 544 thousand. A 1.7% rise was seen in the number of water buffalo. The increase in small livestock also continued; the number rose to 57 million 874 thousand with a 5.4% increase on an annual basis. The number of sheep rose by 5.9% to 46 million 689 thousand, and the number of goats increased by 3.4% to 11 million 186 thousand.

The revival in livestock was not limited to numbers alone; raw silk cocoon production increased by 38.4% during the year, reaching 118 tons. A value of 97 thousand 253 tons was achieved in honey production with a 1.8% increase.

Annual decline in industrial production

Industrial production presented a negative picture in December 2025, declining by 2.1% compared to the same period of the previous year. While a 1.9% growth in mining and quarrying drew attention among sub-sectors, a 2.7% decline was experienced in the manufacturing industry. An increase of 2.4% was recorded in the index related to electricity, gas, steam, and air conditioning production.

When examined on a monthly basis, a 1.2% improvement was detected in industrial production. The mining and quarrying sector increased by 1.3% monthly, the manufacturing industry by 1%, and the production and distribution of electricity, gas, and steam by 4.1%.

These released data reveal the divergence between sectors in the Turkish economy, while upward trends continue in construction and livestock. In industrial production, the weakening of the manufacturing industry on an annual basis is particularly noteworthy.

News Source: 12punto