India’s core infrastructure sector growth slowed down to just 1.7% in June 2025, compared to 5% in June 2024, according to government data released on Monday. This shows a weakening trend in industrial activity.
Although June’s growth is slightly better than May 2025’s 1.2%, it still reflects an overall slowdown. During the April to June quarter, growth in the core sectors was only 1.3%, much lower than the 6.2% growth seen during the same period last year.
Out of the eight core sectors, five saw negative growth:
- Coal: -6.8%
- Electricity: -2.8%
- Natural Gas: -2.8%
- Crude Oil: -1.2%
- Fertilizers: -1.2%
These declines pulled down the overall numbers.
However, there was strong performance in:
- Steel: +9.3%
- Cement: +9.2%
- Refinery Products: +3.4%
These three sectors helped prevent an even bigger drop.
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The core sectors – coal, crude oil, natural gas, refinery products, fertilizers, steel, cement, and electricity – make up 40.27% of the Index of Industrial Production (IIP). This index is a key indicator of how India’s industries are performing.
while some sectors like steel and cement are doing well, the overall industrial growth is slowing down due to weak performance in coal, electricity, and other essential areas.
