The Make in India programme is entering a more demanding phase, with industry now focused on strengthening the foundations of manufacturing rather than merely adding output, the Confederation of Indian Industry said on the occasion of the initiative's 12th year. In a sector such as automotive, electric vehicles and mobility, the message is clear: India's next leap will depend on deeper domestic capability, resilient supply chains and the ability to compete in global markets.
CII's assessment reflects a broader shift in the country's industrial strategy. Over the past decade, the policy conversation around manufacturing has often centred on capacity creation, investment announcements and the attraction of multinational production lines. That phase remains important, but industry leaders now argue that the real test is whether India can produce more of the value chain at home, from components and materials to software, electronics and advanced engineering. For automotive manufacturing, this means moving beyond assembly-led growth and building an ecosystem that can support high-value production at scale.
Supply Chains First
The emphasis on domestic supply chains is particularly relevant for the auto and EV sectors, which remain highly sensitive to import dependence in critical areas such as semiconductors, battery cells, power electronics, rare earth-linked components and precision parts. A stronger local supplier base would not only reduce exposure to external shocks but also improve cost competitiveness and shorten development cycles for manufacturers operating in India.
Industry executives have long argued that the country's manufacturing ambitions cannot be sustained without a deeper tier of suppliers capable of meeting global quality standards. That challenge is now more urgent as automakers and mobility companies face a rapidly changing market shaped by electrification, software-defined vehicles, stricter emissions rules and rising consumer expectations. In this environment, supply chain resilience is no longer a back-office issue; it is a strategic advantage.
CII's framing also suggests that policy support must evolve accordingly. Incentives aimed at final assembly or headline investment may not be enough if India wants to capture a larger share of the value created in mobility manufacturing. The next stage will require targeted support for component makers, materials suppliers, testing infrastructure, research and development, and workforce skills. Without these layers, India risks remaining a large production base without fully becoming a deep manufacturing economy.
Technology And Capability
Technology development is now central to the Make in India narrative. In automotive manufacturing, the shift toward EVs and connected mobility is raising the bar for engineering capability, software integration and product innovation. Companies that once competed primarily on labour cost and scale are now competing on battery performance, vehicle architecture, digital systems and manufacturing precision.
This is where India's opportunity is significant. A stronger domestic manufacturing base can support not only domestic demand but also exports, especially if firms can build products that meet international standards on safety, efficiency and reliability. CII's comments point to a manufacturing model in which India is not simply a destination for global production, but a source of globally competitive products and technologies.
The implications for the EV ecosystem are substantial. India has already seen growing interest in electric two-wheelers, passenger EVs, charging infrastructure and battery-related investment. But the sector's long-term competitiveness will depend on whether the country can localise more of the value chain and reduce reliance on imported inputs. That requires sustained investment in technology, industrial clusters and supplier development, as well as regulatory clarity that encourages long-term capital deployment.
Global Market Ambitions
The final piece of CII's argument is integration with global markets. Manufacturing strength is increasingly measured not just by domestic sales, but by a country's ability to participate in international trade networks, attract export-oriented investment and serve as a reliable node in global supply chains. For India, this means leveraging its scale while also improving logistics, standards compliance and manufacturing consistency.
In the automotive sector, export competitiveness can be a powerful signal of industrial maturity. Vehicles and components that succeed in demanding overseas markets often reflect stronger quality systems, better engineering and more disciplined production processes. If Make in India is to deliver on its original promise, industry leaders say, it must now be judged by how effectively it helps Indian manufacturers move up the value ladder.
The 12-year milestone therefore arrives at a pivotal moment. India's manufacturing story is no longer only about whether factories are being built. It is about whether those factories are embedded in a broader ecosystem that can design, source, produce and export at global standards. For automotive, EVs and mobility, that transition could determine whether India remains a large market for manufacturing or becomes a major manufacturing power in its own right.