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Wednesday, December 31, 2025

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Year of Reforms: 2025 marks India’s rise as the world’s new production engine

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The year 2025 stands as a defining chapter in India’s development journey. It saw policies translate into progress and intent into impact. Today, in this Special Series, ‘Year of Reforms’, we bring to you how India emerged as the World’s New Production Engine in 2025.
 
This year, India reached a decisive inflection point with a projected growth outlook of 7.8 per cent in its industrial and economic trajectory. The country positioned itself as a fast-growing market and major global production hub with the rising foreign direct investment and expanding industrial capacity.  India’s first tempered-glass manufacturing facility was inaugurated this year in Noida, which marked a symbolic break from the past and proved that India is now producing complex.
 
Similarly, in the energy sector, the country achieved a major milestone by reaching 100 GW of solar manufacturing capacity. Meanwhile, Solar module production expanded sharply from 2.3 GW in 2014 to 100 GW in 2025. 
 
This year also witnessed aviation manufacturing gain momentum with the induction of nearly 2 thousand 200 new aircraft. The passenger traffic is projected to reach 630 million by 2030. On the other hand, the country’s industrial rise created mobility for millions.
 
The electronics sector alone supports around 25 lakh jobs and even the national unemployment rate for men declined to 5 per cent. The reforms under Prime Minister Narendra Modi continued to shape the governance framework. GST 2.0 with rationalised tax slabs of 5 per cent and 18 per cent and faster compliance processes, reducing costs and operational friction for manufacturers.
 
India emerged as one of the world’s most vital production and export economies with the deeper value chains, bold policy action, expanding global partnerships, and an increasingly skilled workforce. 

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