Pakistan’s Large Scale Manufacturing (LSM) sector posted a growth of 6.44 percent during July–April 2025-26 compared to the same period last year, driven largely by strong performance in engineering-linked industries including automobiles, cement, petroleum products, and machinery-based manufacturing, according to provisional data released by the Pakistan Bureau of Statistics (PBS).
The Quantum Index of Manufacturing (QIM) rose to 122.19 points on a cumulative basis, reflecting an overall industrial expansion of 6.06 percent, although the sector recorded an 8.32 percent month-on-month decline in April 2026, when the index stood at 114.56.
Engineering-intensive segments led the recovery, with the automobile sector emerging as the standout performer, posting a massive 83.88 percent growth in April and 64.33 percent cumulative growth during the period under review. Cement production also strengthened, recording a 9.11 percent monthly increase and 9.13 percent cumulative growth, supported by construction and infrastructure activity.
Petroleum products grew by 3.83 percent in April and 10.04 percent cumulatively, reflecting increased industrial energy demand, while electrical equipment output rose by 0.35 percent. Machinery and equipment manufacturing remained largely stable despite marginal fluctuations.
Iron and steel, a key indicator of engineering demand, however, declined by 12.88 percent in April and 6.98 percent cumulatively, highlighting pressure in upstream industrial inputs. Fertilizer production also contracted, while chemicals and pharmaceuticals showed mixed performance.
Overall industrial contribution showed automobiles adding 1.61 percentage points to growth, cement 0.50, electrical equipment 0.35, and other transport equipment 0.26, underscoring the central role of engineering-based manufacturing in sustaining LSM expansion.
Experts say the data reflects a gradual industrial recovery led by engineering, construction-linked manufacturing, and transport equipment, despite volatility in heavy industry inputs.
