India’s Manufacturing Sector’s Recovery Hits

• Factory activity levels in India’s private sector hit a 12-month low in December, indicating a weak November performance.

• New orders and output levels fell to the lowest levels through 2024, according to a private survey-based index.

• The HSBC India Manufacturing Purchasing Managers’ Index (PMI) dropped from 56.5 in November to 56.4 in December, indicating a decline in activity levels.

• India’s manufacturing sector reported a growth of just 2.2% in the July to September quarter of this financial year.

• New export orders rose at a slower rate than total new business, marking the fastest increase in international shipment deals since July.

• Firming up in input costs, with an increase in container, material, and labour costs.

• Manufacturing employment rose for the tenth consecutive month in December, and job creation quickened to the fastest in four months.