India Infrastructure Output Grows for 4th Month

The infrastructure output in India rose by 2.3% annually in February of 2026, slowing from the upwardly revised 4.7% increase from the previous month, but still marking a fourth straight period of growth. Growth in infrastructure continued to be carried by raw materials used for construction, with growth rates holding for steel (7.2% vs 11.5% in January) and cement (9.3% vs 11.3%). Also, output ticked higher for fertilizers (3.4% vs 3.7%), coal (2.3% vs 3.1%), and electricity (0.5% vs 5.2%). On the other hand, petrol and gas commodity output fell, maintaining the weakness for the sector as sourcing raw materials from Russia became scrutinized following sanctions from the US. Output fell for crude oil (-5.2% vs -5.8%), natural gas (-5% vs -5%), and refinery products (-1% vs unchanged).

The infrastructure output in India expanded by 4.0% from the previous year in January of 2026, slowing from the upwardly revised, 4.7% to mark a third straight period of increase. Growth in infrastructure continued to be carried by raw materials used for construction, with higher growth rates holding for steel (9.9% vs 10.1%) and cement (10.7% vs 13.7%). In the meantime, expansions were also slower for electricity 3.8% vs 6.3%), fertilizers (3.7% vs 4.1%), and coal (3.1% vs 3.6%). On the other hand, production fell for natural gas (-5% vs -4.4%), crude oil (-5.8% vs -5.6%), and stalled for refined products (vs -1%), maintaining the weakness for the sector as sourcing raw materials from Russia became scrutinized following sanctions from the US.

The infrastructure output in India rose by 3.7% from the previous year in December of 2025, accelerating from the upwardly revised 2.1% increase in the previous month to mark the sharpest pace of growth since the 15-month high from August. The rebound for the infrastructure aggregate, which makes up nearly 40% of India's total industrial production, indicated that the cutback in capacity from the aggressive hike in US tariffs was short-lived, aligned with other indicators pointing to some resilience for goods producers. Growth was sharp for construction inputs through steel (6.9& vs 16.7%) and cement (13.5% vs 14.6%) and selected energy goods in electricity (5.3% vs -1.5%), and coal (3.6% vs 2.1%). These offset continued pressure in crude oil (-5.6% vs -3.2%) and refinery products (-1% vs -0.9%), still adapting to lower prices in global benchmarks and supply disruptions from Russia.