India's Industrial Production Accelerates to 5.2% Growth in February 2026
India's industrial sector demonstrated robust performance in February 2026, with official data revealing a significant 5.2 percent expansion in industrial production. This growth represents a substantial improvement from the 2.7 percent increase recorded during the same month in the previous year, according to the latest figures released by the National Statistics Office.
Manufacturing Sector Emerges as Primary Growth Driver
The manufacturing sector, which constitutes the largest component of the industrial index, registered an impressive 6 percent growth in February 2026. This performance marks a notable acceleration from the 2.8 percent expansion witnessed in February 2025, underscoring the sector's strengthening momentum.
Within the manufacturing segment, 14 out of 23 industry groups reported positive growth during the month. Particularly strong performances were observed in key manufacturing categories, including:
- Manufacture of motor vehicles, trailers and semi-trailers with 14.9 percent growth
- Manufacture of basic metals expanding by 13.2 percent
- Manufacture of machinery and equipment growing at 10.2 percent
Revised Data Shows Upward Adjustment for January
The National Statistics Office also revised upward the industrial growth figure for January 2026 to 5.1 percent from the earlier provisional estimate of 4.8 percent. This revision indicates stronger industrial performance than initially reported and suggests a positive trend in the sector's recovery.
The Index of Industrial Production (IIP) reached 159.0 in February 2026, compared to 151.1 in the corresponding month of the previous year, reflecting the sustained expansion across industrial activities.
Mining and Power Generation Show Mixed Performance
While manufacturing led the industrial expansion, other sectors displayed varied growth patterns. Mining output recorded a marginal improvement, growing at 3.1 percent compared to 1.6 percent in February 2025. Power generation, however, showed a deceleration with 2.3 percent growth against the 3.6 percent increase registered in the same month last year.
Use-Based Classification Reveals Sectoral Strengths
Analysis of industrial production by use-based classification revealed distinct patterns across different categories:
- Capital goods output surged by 12.5 percent, indicating increased investment in productive assets
- Infrastructure and construction goods expanded by 11.2 percent, reflecting continued focus on development projects
- Intermediate goods grew by 7.7 percent, supporting downstream manufacturing activities
Consumer goods presented a mixed picture, with consumer durables output expanding by 7.3 percent while consumer non-durables contracted by 0.6 percent during February 2026.
Long-Term Perspective Shows Stable Growth Trajectory
Examining the broader timeframe, industrial production growth during the April-February period of fiscal year 2025-26 remained steady at 4.1 percent, unchanged from the same period in the previous fiscal year. This stability suggests that while monthly fluctuations occur, the overall industrial growth trajectory maintains its momentum.
The February 2026 industrial production data provides encouraging signs for India's economic recovery, particularly with manufacturing demonstrating strong performance across multiple sectors. The upward revision of January's figures further reinforces the positive trend in industrial activity as the country continues its post-pandemic economic normalization.
