Pakistan’s large-scale manufacturing (LSM) output experienced a year-on-year decline of 0.98 percent in May 2026, as revealed by the latest figures from the Pakistan Bureau of Statistics (PBS). Despite this annual drop, industrial production showed a positive month-on-month trend, rising by 1.21 percent in May compared to April 2026.
In a significant development, the overall LSM output registered a growth of 5.77 percent during the July-May period of the 2025-26 fiscal year compared to the same period last year, indicating a generally upward trajectory over the longer term.
Notably, the automobile sector demonstrated robust performance, with production increasing by 20.81 percent in May. Its cumulative output surged impressively by 58.82 percent over the first 11 months of the fiscal year. Similarly, sugar production rose by 23.25 percent in May and showed a 31.54 percent increase during the July-May timeframe.
Production of petroleum products also improved, growing 15.75 percent year-on-year in May. Meanwhile, garment manufacturing saw a 7.05 percent increase compared with the previous month, reflecting some positive momentum in these industries.
However, several sectors faced setbacks. Iron and steel production declined sharply by 12.57 percent in May, while cement output dropped by 9.36 percent on a month-on-month basis. Fertiliser production also fell by 4.77 percent during the month.
Additionally, the PBS highlighted decreases in output within certain segments of the pharmaceutical, chemical, and textile industries, pointing to uneven industrial performance across the board.
