FX.co ★ India's Industrial Production Growth Slows to 1.8% in May

India's industrial sector has encountered a slowdown, with growth in cumulative industrial production decelerating to 1.8% in May 2025, as per the latest data updated on June 30, 2025. This marks a significant reduction from the 4.0% growth recorded in March 2025.

The recent figures underscore the challenges that have emerged within India's manufacturing and industrial sectors. While earlier in the year, industries experienced a robust expansion, the current downturn reflects potential headwinds, possibly deriving from global economic conditions, domestic demand fluctuations, or supply chain disruptions.

Analysts suggest this decline calls for close monitoring as policymakers and industry stakeholders might need to recalibrate strategies to stimulate and sustain industrial growth. This development is pivotal, given the industrial sector's critical role in bolstering India's overall economic growth trajectory, and any prolonged slowdown could have cascading effects on the broader economy.