India’s Manufacturing PMI Falls to Nine-Month Low
India’s manufacturing sector lost momentum in November, with activity expanding at its slowest pace since February. The HSBC India Manufacturing PMI dropped to 56.6, down from 59.2 in October. Although a reading above 50 indicates growth, the decline shows a cooling in both demand and output.
Slower Rise in Sales and Production
Manufacturers reported that new orders and overall production continued to rise, but at a softer pace. Export orders weakened sharply, hitting a 13-month low as global demand slowed. Companies cited reduced overseas buying and tariff uncertainties as key reasons for the dip in export performance.
Hiring and Business Sentiment Decline
Employment growth eased to its weakest level in over a year. Firms said they were cautious about adding new workers due to uncertainties in future demand. Business confidence also fell, with many manufacturers expressing concern about global and domestic economic challenges.
Input Costs Ease Slightly
There was some relief on the cost front. Input price inflation moderated in November, allowing companies to slow the pace of output price increases. Analysts say that while easing costs may support margins, demand recovery will be crucial for sustained industrial growth.
