Pakistan’s Large-Scale Manufacturing (LSM) sector recorded 5.77% growth during the first 11 months of fiscal year 2025-26, supported by strong performances in the automobile, sugar, petroleum products, and garments sectors, according to provisional data released by the Pakistan Bureau of Statistics (PBS).
The Quantum Index of Manufacturing (QIM) reached 121.65 during July-May FY2025-26, compared with 115.02 in the corresponding period of the previous fiscal year, reflecting a broad recovery in industrial production.
However, on a monthly basis, manufacturing activity remained mixed. In May 2026, the QIM stood at 116.10, marking a 0.98% decline compared with May 2025, while registering a 1.21% increase over April 2026.
The automobile industry remained the strongest-performing segment, with production rising 58.82% during the first 11 months of FY26. On a monthly basis, vehicle output increased 20.81% in May, making it the largest contributor to overall industrial growth.
Sugar production also posted robust gains, increasing 31.54% during July-May and 23.25% in May. Petroleum products recorded growth of 10.56% during the 11-month period and 15.75% in May.
The garments sector continued its positive momentum, expanding 7.31% during the fiscal year and 7.05% in May. Cement production rose 7.16% during July-May despite recording a 9.36% year-on-year decline in May.
Other sectors showing notable growth included electrical equipment, which expanded 13.50%, other transport equipment 41.63%, furniture 26.96%, and fabricated metal products 9.70% during the review period.
Despite the overall improvement, several industries remained under pressure. Iron and steel products declined 7.49% during July-May and 12.57% in May. Pharmaceutical production fell 8.07% during the 11-month period and 23.34% in May.
Chemical products contracted 2.64%, while fertiliser and leather production each declined 2.25% during the period.
Pakistan’s textile sector, the country’s largest manufacturing industry, remained largely flat, posting a marginal 0.09% decline during July-May. However, cotton yarn production increased 1.26%, while cotton cloth output edged up 0.17%.
According to the Pakistan Bureau of Statistics, the strongest positive contributions to LSM growth came from food products, garments, automobiles, petroleum products, cement, electrical equipment, beverages, furniture, and other transport equipment. Meanwhile, pharmaceuticals, iron and steel, chemicals, and fertilisers remained the biggest drags on overall manufacturing performance.
