India's industrial output grows 7.3% in June on manufacturing, power boost

India's industrial production growth accelerated to 7.3% in June 2026 on the back of a robust performance in the manufacturing sector and double-digit expansion in electricity and gas supply, according to official data released on Tuesday.

The Index of Industrial Production (IIP) had recorded a growth of 5.1% in May 2026 (Quick Estimate released in June) and stood at 114.7 in June 2025.

The revised estimate of IIP for the month of May is 5%.

According to the Ministry of Statistics and Programme Implementation, the IIP rose to 123.1 in June 2026 from 114.7 a year ago.

Manufacturing, which carries the highest weight in the index, expanded 7.8% during the month, while electricity and gas supply grew 10.6%.

Mining and quarrying recorded a modest growth of 1%, while water supply, sewerage and waste management rose 6.1%.

Within manufacturing, 19 of the 23 industry groups registered positive growth over the year-ago period.

The top three positive contributors for the month of June 2026 are – 'manufacture of electrical equipment' (34%), 'manufacture of motor vehicles, trailers and semi-trailers' (17.5%), and 'manufacture of food products' (10.8%).

The government said growth in electrical equipment was led by products such as switchgear and circuit breakers, UPS systems and solid-state drives, and optical fibre connectors.

In the automobile segment, auto components, passenger cars and commercial vehicles were the main contributors, while in food products, tea, non-basmati rice and starch supported growth.

According to the use-based classification, capital goods recorded the highest growth of 14.2% in June, indicating continued investment activity.

Intermediate goods grew 9.3%, infrastructure and construction goods 7.5%, consumer durables 7.7%, while primary goods and consumer non-durables each expanded 4.9%.

The IIP data for July 2026 will be released on August 28.