India’s industrial activity roared back to life in November 2025, with the Index of Industrial Production (IIP) posting a sharp 6.7% year-on-year growth—the highest in 25 months. This marked a dramatic rebound from October’s meager 0.4-0.5% expansion, signaling a broad-based recovery across key sectors. The overall IIP index reached about 158, up from 148 a year earlier, reflecting genuine output gains.
The manufacturing sector, carrying over 75% weight in the IIP basket, expanded by around 8%—a stark improvement from prior months. Standouts included basic metals, fabricated products, pharmaceuticals, and motor vehicles, boosted by festive demand and steady supply chains. This surge underscores renewed factory momentum after seasonal disruptions like Diwali and rains in October.
Mining output climbed 5.4%, aided by post-monsoon gains in iron ore and other minerals, while electricity dipped 1.5% but fared better than October’s steeper fall. Use-based data painted an optimistic picture, with capital goods surging in double digits to hint at robust investment, infrastructure and construction items mirroring this trend, and consumer durables also hitting double-digit growth to point to revived spending on big-ticket items. Intermediate and non-durable goods rose in single digits, confirming widespread industrial uptick.
This IIP growth in November 2025 partly corrects October’s base effects but reveals underlying strength in manufacturing and capex cycles. FY26’s average remains around 3-4%, so sustained momentum is key. Economists eye this as a positive for GDP forecasts, especially with global headwinds easing.
