Market Trends of India Lathe Machines Industry
Technological Advancements in the Manufacturing Industry are Expected to Drive the Market
- The Indian manufacturing industry has contributed to the country's economic growth, providing employment and GDP growth. However, to stay ahead of the competition in the Swiss-type automatic lathe machine market, Indian manufacturers must adopt modern technology and processes.
- The Industry 4.0 era is revolutionizing the day-to-day operations of CNC machine shops. With all the available intelligent technologies and embedded software, faster turnarounds and reduced downtimes increase efficiency. Further, CNC machines boost manufacturing by reducing operating costs, improving efficiency, and reducing component errors. Industry 4.0 is at a turning point in Indian manufacturing.
- Digital transformation in manufacturing has been accelerating in emerging markets such as India. In the post-pandemic era, the manufacturing industry worldwide, particularly in India, has adopted a new generation of technology based on automation and software.
- IoT, AI, and Blockchain have significantly increased manufacturing and industrial development productivity. Several cutting-edge technologies support end-to-end automation, analytics, and real-time decision-making and have transformed manual manufacturing units into intelligent factories.
- The government plays a vital role in implementing IoT in the country. IoT immensely benefits the Make in India campaign by introducing innovative ways to sustain manufacturing organizations' sustainable development. The Internet of Things (IoT) enables CNC lathe machine operators and machine handlers to interact with their machines via smartphones or tablet devices. With IoT-based CNC machine tracking, CNC operators can monitor the status of their machines remotely at any time.
- With the help of IoT systems and the real-time alert function, factories can reduce machine downtime and improve overall equipment efficiency. Machine-to-machine alerts can prevent the accidental failures of tools or any part of a CNC machine. Besides reducing workshop injuries, IoT technology reduces material waste and increases CNC machine productivity, resulting in more accurate parts being manufactured in less time.
Understand The Key Trends Shaping This Market
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Automotive Industry to be the Fastest Growing End User
- Major technological advancements in electric vehicles and increased connectivity fuel auto industry sales in India. In addition, new emissions standards were implemented by the Government of India in 2016, the first country to implement BS-VI emissions standards. India skipped BS-V entirely and started with a higher level of standards. In just four years, India faced a challenge and turned it into an opportunity by making its fuel and vehicles compliant with BS-VI. When combined with the scrappage scheme, BS-VI standards could improve air quality and the health of the people of India.
- According to the Society of Indian Automobile Manufacturers (SIAM), India has one of the highest vehicle production in the world. In FY22, the total vehicle production in India stood at 22.93 million units, registering a year-on-year (YoY) growth of 1%. In India, two-wheelers are the most popular type of vehicle manufactured and account for the majority of vehicles sold on the domestic market.
- The Indian automotive components sector witnessed a record turnover of USD 69.7 billion in 2022-23, driven by increased demand for high-value-added components for the domestic automotive market. The sales of automotive parts suppliers to OEMs increased by 33% in FY 23. India is emerging as a global hub for automotive component sourcing.
- The country has a competitive advantage in auto components such as shafts, bearings, and fasteners due to the presence of several manufacturers. According to IBEF, India's auto component exports are projected to grow and reach USD 30 billion in FY 2026. This factor is expected to create significant demand for Swiss automatic lathe machines in India.
- Automotive shafts and axles are gaining traction as they serve as the backbone of the powertrain systems. The demand is accelerated due to the growing customer demand for hybrid and electric vehicles and the integration of advanced technologies in automobiles. Similarly, the rise in implementation of emissions rules such as Bharat Stage VI and an increase in preference for engine downsizing and vehicle weight reduction is anticipated to positively impact fuel injector growth, which supports the growth of the market studied.
- The rise in adoption of ECASS (Electronically Controlled Active Suspension System) due to its fewer moving parts and shorter reaction time creates demand for suspension components, which is expected to increase the demand for advanced Swiss automatic lathe machines.
