FX.co ★ India December Manufacturing PMI Revised Down

The HSBC India Manufacturing Purchasing Managers' Index (PMI) dropped to 55.0 in December 2025, adjusting downward from the preliminary figure of 55.7, after recording 56.6 in November. This represents the slowest advancement in two years, with factory production growth at its most sluggish since October 2022, accompanied by reduced expansion in new orders. Additionally, export demand grew at the weakest rate observed in 14 months, primarily driven by new orders from Asia, Europe, and the Middle East. Employment levels saw only a slight increase, which indicates adequate staffing in light of diminishing workloads. Input cost inflation remained contained, rising only slightly, while inflation of output prices decreased to its lowest in nine months. The buildup of purchased inventories slowed to a two-year low, while stocks of finished goods declined significantly as companies relied on existing inventories to fulfill current demand. Business sentiment reached its lowest point in almost three and a half years, as firms noted the challenges of competitive pressures and market uncertainty, despite receiving boosts from new product launches and marketing efforts.