After a decline in October during the festive season, industrial production is now showing signs of rebounding. This increase reflects improved manufacturing activity and a gradual stabilization of demand.

This is the first big news for India in two years, knowing which will make everyone from the US to China and Pakistan feel chilly.

India's Industrial Production: This news is a welcome relief on the industrial front. Despite high US tariffs, the Indian industrial sector has performed exceptionally well in November over the past two years. This information may be irritating to everyone from the US to China and Pakistan. In fact, industrial production recorded a strong increase in November 2025, rising to 6.7 percent year-on-year, compared to a growth rate of 5 percent in the same period a year earlier.

After a decline in October during the festive season, industrial production is now showing signs of rebounding. This increase reflects improved manufacturing activity and a gradual stabilization of demand, strengthening expectations for the industrial sector's performance in the coming months.

Big relief on the industrial front

India's industrial production growth rate reached a two-year high of 6.7 percent in November 2025, driven by strong performance in the mining and manufacturing sectors. According to official data released on Monday, the Index of Industrial Production (IIP), which measures industrial output, grew by five percent in November 2024. The previous highest growth rate was 11.9 percent in November 2023.

The National Statistical Office (NSO) has also revised the IIP data for October 2025, raising the industrial production growth for October to 0.5 per cent from the earlier provisional estimate of 0.4 per cent.

Poor performance in the power sector

Manufacturing sector output grew 8 percent year-on-year in November 2025, compared to 5.5 percent growth in the same month a year earlier. The mining sector also saw significant improvement, with production rising 5.4 percent in November, compared to just 1.9 percent in November 2024.

However, electricity generation performance remained weak, declining by 1.5 percent in November, compared to a 4.4 percent increase in the same period last year. Overall, the November IIP data indicate a clear return to industrial activity, especially in key sectors such as manufacturing and mining.