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India's Industrial Output Soars 7.8% in December, Hits 2-Year High

India's Index of Industrial Production (IIP) grew by 7.8% in December 2025, marking its highest level in over two years. The growth was primarily driven by the manufacturing sector, which expanded by 8.1%, alongside mining and electricity. Within manufacturing, key contributors included the manufacture of basic metals and motor vehicles. The data, released by the Ministry of Statistics, also shows robust growth in infrastructure and consumer durables.

Key Points: India's IIP Growth Hits 7.8% in December, Manufacturing Surges

  • IIP growth at 7.8% in Dec 2025
  • Manufacturing sector leads with 8.1% growth
  • 16 of 23 industry groups show positive growth
  • Infrastructure goods surge 12.1%
2 min read

India's IIP records growth of 7.8% in December

India's industrial production grew 7.8% in December 2025, driven by strong manufacturing, mining, and electricity sectors. Key data released by MoSPI.

"Reaching its highest level in over two years - Ministry of Statistics"

New Delhi, January 28

India's Index of Industrial Production recorded a growth of 7.8 per cent for the month of December 2025, according to official data released on Wednesday.

Reaching its highest level in over two years, after registering a high growth of 7.2 per cent in November 2025, the IIP growth in December was driven by a surge in Manufacturing (8.1%), mining (6.8%) and electricity (6.3%).

According to the data released by the Ministry of Statistics and Programme Implementation, the IIP for Mining, Manufacturing and Electricity for December stands at 153.0, 169.9 and 204.9 respectively.

Within the manufacturing sector, 16 out of 23 industry groups recorded a positive growth in December 2025 over December 2024. The top three positive contributors for the month of December 2025 are "manufacture of basic metals" (12.7%), "manufacture of motor vehicles, trailers and semi-trailers" (33.5%) and "manufacture of pharmaceuticals, medicinal chemical and botanical products" (10.2%).

"As per the use-based classification, the indices stand at 164.6 for Primary Goods, 124.0 for Capital Goods, 182.8 for Intermediate Goods and 219.1 for Infrastructure/ Construction Goods for the month of December 2025. The indices for Consumer durables and Consumer non-durables stand at 139.0 and 180.7 respectively," a release said.

The corresponding growth rates of IIP as per Use-based classification in December 2025 over December 2024 are 4.4 per cent in Primary goods, 8.1 per cent in Capital goods, 7.5 per cent in Intermediate goods, 12.1 per cent in Infrastructure/ Construction Goods, 12.3 per cent in Consumer durables and 8.3 per cent in Consumer non-durables.

Additionally, based on use-based classification, the top three positive contributors to the growth of IIP for the month of December 2025 are Infrastructure/ construction goods, Primary goods and Intermediate goods.

- ANI

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Reader Comments

P
Priya S
Good numbers, but I hope this growth is inclusive and sustainable. The high growth in consumer durables (12.3%) suggests urban spending is up, but we need to see rural demand pick up more strongly. The focus on infrastructure is the right way forward.
R
Rohit P
Wow, 33.5% growth in vehicle manufacturing! The auto sector is clearly on a roll. As someone from Pune, I can see the factories buzzing. This is a direct result of policy stability and the PLI schemes. More power to 'Make in India'!
S
Sarah B
Respectfully, while the headline number looks great, I'm concerned about the electricity growth being the lowest at 6.3%. For sustained industrial growth, we need a robust and green power sector. Hope the next budget allocates more for renewable energy integration.
K
Karthik V
Positive data for sure. The growth in capital goods (8.1%) is a key indicator of future capacity expansion. If businesses are investing in machinery, it shows confidence in the long-term economic outlook. Let's keep this momentum going!
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Nisha Z
As a small business owner, I'm finally feeling some of this growth. Orders have improved slightly. But the real test is whether this reduces inflation and makes raw materials cheaper for us. The numbers need to help the common person, not just look good on paper.

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