December delivered a blockbuster for India’s industry. The IIP clocked 7.8 percent growth, eclipsing prior months and hitting a two-year summit, official data confirms.
Manufacturing dominated, expanding 8.1 percent with electronics leaping 34.9 percent, vehicles 33.5 percent, and metals 12.7 percent. Pharma added 10.2 percent, driven by essential medicines.
Sector-wise, mining grew 6.8 percent, power 6.3 percent. November figures were revised upward to 7.2 percent, reinforcing the trend.
Breaking it down by use: infrastructure items surged 12.1 percent amid construction boom, durables 12.3 percent on festive spillover, capital 8.1 percent, intermediates 7.5 percent.
FY26 April-December aggregates 3.9 percent growth, with consumer segments strengthening—durables to 12.3 percent, non-durables to 8.3 percent.
Analyst Rajni Sinha of CareEdge calls it a standout month, attributing strength to government spending, policy tailwinds, and softening inflation. Future catalysts include budget capex pushes, though external risks persist.
This data bolsters optimism, highlighting India’s capacity to sustain high growth amid global uncertainties.