FX.co ★ India Manufacturing Growth Revised Lower

The HSBC India Manufacturing PMI was adjusted to 57.7 in September 2025, down from the initial estimate of 58.5, and below August’s peak of 59.3, which marked a 17-and-a-half-year record. Despite this decline, the index remained well above the long-term average, indicating ongoing strength in the manufacturing sector. New orders experienced growth due to robust demand, although the rate of expansion slowed to its lowest in four months. Production similarly increased at a strong pace, but was nonetheless the weakest growth observed since May. Purchasing activity also showed a significant rise, albeit at the slowest rate in the same four-month period. Conversely, job creation fell to its lowest in a year. In terms of pricing, input costs rose during September, with increases attributed to higher prices in batteries, cotton, electronic components, and steel. Meanwhile, selling prices rose at their fastest rate since October 2013. Looking forward, business confidence reached a seven-month high, supported by optimistic changes in GST (goods and services tax) rates.