Making It Big: India’s Factory Force Forges a 14-Month High

Image Source: Telegraph India

The Output Surge India's manufacturing sector reached a 14-month high in June, HSBC Manufacturing PMI rising to 58.4. It was led by a sharp rise in foreign orders and robust domestic demand.

Momentum markers:

Production increase at its peak level since April 2024

New orders rose considerably, especially from the US and European markets

Jobs increased to a record pace, the quickest in over two decades of the survey's history

Cost and Confidence Trends

Input cost inflation moderated to a four-month low, while iron and steel prices increased.

Sale prices rose moderately as firms diverted freight and labor costs

Business confidence decreased modestly due to competition and fears of worldwide uncertainty

The Bigger Picture With exports gaining traction and recruitment gaining pace, India's factory engine is well and truly back in operation—although foreign headwinds remain in the wings.

Sources: Reuters, Economic Times, MSN_HSBC-S&P Global PMI Report, NewsBytes, Trading Economics