India’s factory output holds steady at 4% in September as manufacturing gains

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India’s Index of Industrial Production (IIP) rose 4% year-on-year in September 2025, unchanged from the previous month’s quick estimate, according to official data.

The steady growth was driven by a 4.8% expansion in the manufacturing sector, even as mining and electricity activity moderated.

Manufacturing output benefited from strong performances in key segments — “manufacture of basic metals” grew 12.3%, “electrical equipment” rose 28.7%, and “motor vehicles, trailers and semi-trailers” expanded 14.6%.

Within these categories, items such as MS slabs, electric heaters, transformers, and auto components contributed significantly to growth.

Also Read: India’s services sector powers growth but job quality and inclusion lag: NITI Aayog report

In contrast, mining activity contracted 0.4% against 6.6% growth a month earlier, while electricity output rose 3.1%, down from 4.1% in August.

By use-based classification, infrastructure goods rose 10.5% versus 10.4% in August, while consumer durables grew sharply by 10.2% compared with 3.5% in the previous month. Consumer non-durables, however, fell 2.9%, improving from a 6.4% decline earlier.

Among other segments, primary goods grew 1.4% versus 5.4% month-on-month, and capital goods rose 4.7% compared with 4.5% in August.

Also Read: India’s August IIP rises 4% led by mining and electricity output surge



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