Manufacturing PMI slides to 14-month low in Feb as production plummets

After a strong start to 2025, Indian manufacturers saw a decline in new orders and production momentum in February, according to a private survey released on Monday. The headline Purchasing Managers’ Index (PMI), compiled by S&P Global and released by HSBC, fell to a 14-month low of 56.3 in February from 57.7 in January.

 

However, the survey noted that despite slowing to the weakest level since December 2023, the rates of expansion in output and sales remained elevated in the context of the survey's 20-year history. Business conditions improved across all three monitored sub-sectors—consumer, intermediate, and investment goods.

 

“Favourable domestic and international demand prompted firms to increase purchasing activity and hire extra workers at above-trend rates. However, demand buoyancy kept charge inflation at an elevated level despite softer cost pressures,” the survey noted.

  

A PMI figure above 50 indicates expansion in manufacturing activity during the month, while a reading below 50 signifies contraction.