Indian Manufacturers Are Catching On: Data, AI, and Sustainability Now Key to Strategy

• Chinmay
• June 10, 2025
• Artificial Intelligence, India, News
• AI in manufacturing, AI ML investment India, AI skill gaps, data use in Indian factories, digital transformation in manufacturing, Indian manufacturing report, industrial automation trends, manufacturing sustainability India, Rockwell Automation report 2025, smart manufacturing India
• 0 Comments

Indian manufacturing is evolving — and this time, it’s not just about automation or cost-efficiency. A new global report from Rockwell Automation, the world’s largest company focused on industrial automation, shows that Indian manufacturers are increasingly embracing AI, data utilization, and sustainability as core business priorities.

The 10th annual State of Smart Manufacturing Report, based on insights from over 1,500 manufacturers across 17 countries, reveals that Indian industries are no longer lagging behind in digital adoption. They are beginning to use data smarter, invest more meaningfully in AI/ML, and take sustainability more seriously than many of their global peers.

India-Specific Insights

While the report is global in scope, India stands out in several areas:

• 53% of collected data is being used effectively in Indian manufacturing — ahead of the global average of 44%.
• 99% of Indian manufacturers have either already invested or plan to invest in AI/ML, though actual maturity levels vary.
• 81% say long-term business impact is the primary reason for adopting smart manufacturing technologies.
• A strong 94% of Indian firms now report having formal sustainability programs in place — with a focus on energy management and lifecycle-based eco-friendly processes.
• Workforce priorities are also shifting, with analytical thinking and teamwork ranking high in desired skill sets.

Dilip Sawhney, Managing Director, Rockwell Automation India, commented, “AI and ML are no longer buzzwords — they’re being recognized as strategic priorities. And while challenges remain, India is proving that it can lead in effective data use and sustainability-driven innovation.”

Global Signals, Local Momentum

Globally, the report notes:

• 95% of manufacturers have AI/ML in their investment plans.
• AI in cybersecurity is gaining ground — up from 40% to 49% in one year.
• 48% of companies plan to repurpose or hire more workers due to smart tech adoption.
• Quality control remains the most popular use case for AI, followed by supply chain and predictive maintenance.
• There’s been a 5% year-on-year increase in the importance of AI skills among leadership teams.

What’s Holding India Back?

Despite the enthusiasm, infrastructure and AI readiness remain big gaps. Many Indian firms still lack the internal capabilities to go beyond pilot projects. The report highlights a shift — from knowing AI is important to needing real, applicable AI skills on the shop floor. Still, India’s edge lies in intent, adaptability, and a growing ecosystem of AI startups, government initiatives, and industry-led skilling efforts.

Bottom Line

The transformation is underway — not just in machines, but in mindsets. India’s manufacturing sector is no longer a passive observer of global tech trends. It’s learning, adapting, and slowly setting the stage to lead — especially in data-driven decision-making, sustainable practices, and smart automation.