FX.co ★ India Manufacturing PMI Revised Higher

In October 2025, the HSBC India Manufacturing PMI climbed to 59.2, surpassing both the flash estimate of 58.4 and September’s reading of 57.7, indicating an acceleration in factory activity growth. This surge was fueled by a sharp rise in new orders, bolstered by robust demand, effective advertising strategies, and optimism regarding GST reforms. The rate of output growth aligned with that seen in August, making it the joint-fastest increase in five years. Export orders also rose solidly, although at a slower pace than earlier in the year. Reflecting a strategic move to build inventories and secure necessary inputs, purchasing activity experienced its fastest growth since May 2023. Employment marked its 20th consecutive month of growth, maintaining a pace similar to September's. There was a slight uptick in backlogs, underscoring strong demand, while supplier delivery times improved to their best level in four months. Although input cost inflation dropped to an eight-month low, output prices surged at the joint-highest rate in 12 years, as firms passed on increased freight and labor costs to customers. Lastly, confidence remained robust, underpinned by the positive outlook on GST reforms and strong demand prospects.