MT Magazine September/October 2025

SEPTEMBER/OCTOBER 2025

FEATURE STORY

31

INDIA

EUROPE

India For more information, contact Achilles Arbex, senior director, global services, at aarbex@AMTonline.org. Top Industries • Automotive, aerospace and defense, industrial machinery, electronics, and medical devices lead regional demand. • Central and Eastern Europe attract investment due to cost efficiency and skilled labor. Manufacturing Technology Trends • Investments are growing in robotics, additive manufacturing, digital twins, and the Industrial Internet of Things. • Germany leads in precision and automation; Italy and France advance in robotics and specialty machinery. Market, Policy, and Geopolitical Drivers • Driven by the European Green Deal, Horizon Europe, and national recovery programs focused on digital and green technology. • Strategic reshoring initiatives began in response to the Russia-Ukraine conflict. • FDI is high in sustainable manufacturing, semiconductors, and battery production. • Energy costs and supply chain volatility remain challenges.

India For more information, contact Arun Mahajan, director, Chennai Tech Center, at amahajan@AMTonline.org. Top Industries • Aerospace and defense: These sectors focus on import reduction, domestic production, and defense corridors. • Electronics and semiconductors: Digitization and EV growth drive these sectors; local production meets just 50% of demand. • Automotive: There is huge growth potential with low per capita vehicle ownership and a strong EV push. • Medical devices: Rapid growth is expected – from the current $15 billion to $50 billion by 2030. • Renewable energy: Large-scale investments are being made in solar, wind, and green hydrogen. Manufacturing Technology Trends • Industry 4.0 integration, digitization, and automation are on the rise. • The machine tool market is projected to grow from $3 billion to over $5 billion by 2030. • India’s top machine tool-consuming sectors are automotive (35%-40% of overall machine tool consumption), general engineering (20%-25%), and aerospace and defense (10%- 12%). Market, Policy, and Geopolitical Drivers • India has applied the Production Linked Incentive scheme to more than 15 sectors to support domestic growth. • The country’s government initiated massive infrastructure spending on corridors, logistics, and multimodal connectivity. • Free trade agreements have been signed with the U.K., EU, Australia, the United Arab Emirates, and ASEAN, fostering export-led growth. • India’s PMI averages over 56, showing the country’s resilience amid global supply chain instability.