Pakistan’s large-scale manufacturing (LSM) sector maintained a slow but positive growth trend in August 2025, recording a 0.54 percent year-on-year increase in industrial output, according to the Pakistan Bureau of Statistics (PBS).
However, on a month-on-month basis, the report noted a 2.7 percent decline in large-scale industrial production compared to July.
During the first two months of the current fiscal year (July–August), the LSM sector registered an overall 4.44 percent increase in output, reflecting gradual recovery in key industries.
The report highlighted that growth was mainly driven by the food, tobacco, garments, cement, and automobile sectors, while output from the petroleum, furniture, chemical, and iron & steel industries showed declines.
The automobile sector recorded the highest growth, with production surging by 130.68 percent, marking a strong rebound in vehicle manufacturing. The cement industry also performed well, posting an 18.65 percent increase in output.
In contrast, petroleum products saw a 13.59 percent decline in production, while the textile and machinery sectors experienced slight decreases.
Economists say the mixed performance reflects ongoing challenges in energy costs and import constraints, though improved demand in construction and auto manufacturing indicates signs of industrial recovery.
