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India's Manufacturing Soars to Seven-Month High in September on Strong Demand
M
Moneycontrol•01-10-2026, 10:54
India's Manufacturing Soars to Seven-Month High in September on Strong Demand
- •India's manufacturing activity surged to a seven-month high of 55.1 in September, up from 52.8 in August, driven by stronger domestic and overseas demand.
- •The HSBC India Manufacturing Purchasing Managers' Index (PMI) indicates expansion with a reading above 50; September's rise was led by electronic goods, food products, pharmaceuticals, and textiles.
- •Despite the September recovery, the manufacturing momentum for the July-September quarter remained subdued, with the lowest quarterly average since Q2 2021.
- •Manufacturing employment returned to growth in September, marking the strongest pace of job creation since May, and business confidence reached a four-month high.
- •Input cost inflation accelerated in September due to higher prices for electronic components, pharmaceuticals, and steel, though it remained below historical averages.
Key Questions Answered
India's manufacturing Purchasing Managers' Index (PMI) climbed to a seven-month high of 55.1 in September, recovering from 52.8 in August.
The September recovery was driven by firmer demand for electronic goods, food products, pharmaceuticals, and textiles.
Manufacturing employment returned to growth with the strongest job creation pace since May, while business confidence strengthened to a four-month high.
