India’s IIP Growth Holds Steady at 4% in September 2025

India’s Index of Industrial Production (IIP) grew 4% year-on-year in September 2025, unchanged from the previous month’s quick estimate, according to official data. The steady performance reflects resilience in manufacturing despite moderation in mining and electricity output.

Manufacturing Sector Performance

Manufacturing activity expanded 4.8%, supported by strong growth in key segments. “Manufacture of basic metals” rose 12.3%, “electrical equipment” surged 28.7%, and “motor vehicles, trailers and semi-trailers” grew 14.6%. Items such as MS slabs, electric heaters, transformers, and auto components contributed significantly to this growth.

Mining and Electricity Output

Mining activity contracted 0.4%, reversing the 6.6% growth recorded in August. Electricity output increased 3.1%, slightly lower than 4.1% in the previous month, indicating a slowdown in energy production.

Use-Based Classification Trends

Infrastructure goods grew 10.5% compared to 10.4% in August, while consumer durables posted a sharp rise of 10.2% against 3.5% in the prior month. Consumer non-durables declined 2.9%, improving from a 6.4% fall earlier. Primary goods registered 1.4% growth versus 5.4% in August, and capital goods rose 4.7% compared to 4.5% in the previous month.

Overall Industrial

The latest data suggests that while manufacturing and infrastructure goods remain strong, mining and electricity have moderated. Consumer durables showed notable improvement, signalling recovery in discretionary spending.

Read More: India May Raise FDI Limit in Public Sector Banks to 49%.

Conclusion

India’s industrial output maintained steady growth in September 2025, with manufacturing leading the expansion and infrastructure goods showing strong momentum. While mining and electricity moderated, the overall trend signals continued stability in industrial activity.

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