There is a certain gain in momentum in the manufacturing sector as industries – SMEs in particular – see an increasing flow of orders in the aftermath of elections and the announcement of new infrastructural projects such as highways. There is a certain optimism in the manufacturing sector in view of the upcoming budget in anticipation of supply chain measures as many companies look at India as an alternative to China. 

While challenges such as rising operational expenses due to an increase in electricity charges, skilled manpower costs, raw material cost and logistics costs account for headwinds, new orders on account of new engineering projects account for the tailwinds. 

The effect of policy push through PLI schemes has started to show effect on the manufacturing sector despite one more headwind – to scale up in a journey towards a global manufacturing hub. With automotive components accounting for large orders with ironically the least margins in terms of income or profits as compared to other sectors such as pumps and air-conditioners, an interesting trend evident is an increase in orders right down to the SME level. This includes automotive components on account of new projects and exports. 

Against the talk of vehicle sales across various categories moderating, the trends in auto components manufacturing seem to actually pick up pace. “Manufacturing industries are seeing an increase in work orders, which indicates the starting of new projects and business arrangements post the election. We as a SME are also experiencing the flow of new orders though the margins on orders from the automotive OEMs and Tier 1 suppliers seem to have hardly any while the quantities are often large and of the ‘production’ kind,” mentioned Sachin Sawant, Partner, Nuovotech Engineers. This SME enterprise from Pune recently bagged an order for an EV project. 

“We are looking at what the budget has to offer in terms of the boost that is evident in the manufacturing sector after a considerable amount of time. We are also hopeful of a continued momentum in view of the upcoming festive season and a good monsoon, which often has a positive effect on the manufacturing sector,” he added. 

A proprietor of another SME unit in Vasai also spoke about an increase in manufacturing activity with the starting of new projects. His company is into the supply of automation solutions to the sectors including automotive. Of the opinion that the GST has to come down in the aftermath of the profound effect it has had on manufacturing sector in terms of its competitiveness and a significant increase in costs, he said that the budget could outline some more positive measures to boost manufacturing to a higher level on the account of not revealing his identity. 

Luxury car sales slowdown

Attributing the slowdown as part of the broader moderation in automotive sales, luxury cars markers are of the opinion that the slowdown in luxury car sales is temporary. The slowdown in automotive sales, including that of the luxury automobiles has been due to the intense summer and general elections, claimed a few industry sources whereas others attributed it to the shift in spending by the wealthy. With a good monsoon and the upcoming festive season, luxury car makers are confident that the slowdown that is current apparent will soon resolve to ensure yet another good fiscal of sales and performance. 

Pointing at the challenge faced regarding BIS certification faced by a luxury automobile manufacturer in the first half of this calendar year, industry sources said that the launch of new models on account of the upcoming festive season should dial momentum back into luxury car sales.  

Image for representative purpose only.

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The Automotive Research Association of India (ARAI), an autonomous body under the Ministry of Heavy Industries, Government of India, has announced the readiness of its ambitious and pioneering project, the ‘ADAS Test City’.

The new facility spread across 20 acres in Takwe near Talegaon, Pune, is designed as a pseudo city to replicate the diverse road conditions in India, which will be instrumental to test and validate Advanced Driver Assistance Systems (ADAS) in a safe, secure, repeatable and controlled environment. The idea is to support the development of ADAS solutions to meet the real-world scenarios in India. The ADAS Test City is also the first-of-its-kind such dedicated facility in the country.

Furthermore, ARAI also announced that it will host ‘The ADAS Show’ in association with Aayera, at the new facility on 12 December 2025, where it expects automakers, tier 1 suppliers and technology companies to showcase their innovation and test vehicles.

Dr. Reji Mathai, Director, ARAI said, “ADAS are pivotal in enhancing road safety, and ARAI remains committed to driving the adoption of safe, smart, and sustainable mobility solutions across industry. Our upcoming ADAS Smart City Track represents a landmark initiative – India’s first dedicated proving ground designed to enable automotive and auto-tech manufacturers to rigorously test and validate their technologies in real-world conditions. We thank the Ministry of Heavy Industries for their gracious support under their Capital Goods Scheme which has enabled us to install the modular infrastructure for Verification and Validation of ADAS at the Test City. This facility will play a crucial role in advancing ADAS capabilities by empowering manufacturers to deliver best-in-class safety solutions to consumers. Moreover, this ADAS Smart City Track will not only facilitate but will boost indigenous ADAS/AV technology development from the budding start-up ecosystem. Hence, events such as The Adas Show, organised in collaboration with Aayera, are instrumental in fostering open dialogue and collaborative innovation in the realm of intelligent mobility. We look forward to insightful deliberations and a successful event on 12th December 2025.”

Syed Fareed Ahmed, Director, Aayera, added, “THE ADAS SHOW is India’s definitive platform where automotive leaders, technologists, and innovators converge to showcase and discuss the most advanced driver-assistance and safety technologies. The previous editions were inaugurated by Dr. Hanif Qureshi, IPS, Additional Secretary (Automobiles), Ministry of Heavy Industries, Government of India at ICAT, and witnessed participation from leading OEMs such as Honda, JSW MG Motors, BMW, Volvo, Mahindra & Mahindra, Tata Motors, Maruti Suzuki India, alongside global technology leaders including Bosch, ZF, Valeo, Harman, Starkenn, Rosmerta, Dassault Systemes, NXP, Uno Minda and many more. The Adas Show is a dynamic and engaging event that unites vehicle manufacturers, ADAS technology companies and testing equipment providers to present cutting-edge innovations in real-world scenarios.”

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Bengaluru-headquartered engineering R&D service company L&T Technology Services has inked a strategic partnership with Silicon Valley-based SiMa.ai, a leader in Physical AI. The partnership will focus on driving AI-driven solutions across mobility, healthcare, industrial automation and robotics.

As per the understanding, LTTS’ will combine its deep engineering expertise and domain focus with SiMa.ai’s MLSoC ONE platform and software SDK. SiMa.ai will deliver industry-leading AI hardware and software solutions by leveraging LTTS’ core engineering capabilities and human capital investments across key areas such as in-vehicle infotainment (IVI), AD/ADAS, industrial automation & robotics and healthcare.

Amit Chadha, CEO & MD, L&T Technology Services, said, “SiMa.ai cements LTTS’ position as a leader in AI-led ER&D solutions. By combining SiMa.ai’s groundbreaking AI computing technology with our expertise in design and implementation, we are empowering clients across robotics, mobility and healthcare to accelerate time-to-market, enhance operational efficiency and deliver unparalleled value. Together, we are driving the industry forward, embedding intelligence into innovative solutions that are sustainable and scalable.”

Krishna Rangasayee, Founder & CEO, SiMa.ai, said, “Our collaboration with LTTS symbolises the synergy required to scale physical AI applications globally. LTTS brings unmatched engineering capabilities and client reach, making them an ideal partner. By working together, we enable industries to harness the full potential of AI, delivering high performance and power efficiency to clients while simplifying the adoption process.”

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Rapido, a leading ride-sharing platform in India, has joined forces with the Jaipur Police Commissionerate to launch a new initiative focused on improving women's safety in the city's public transportation. This partnership, which follows a week-long awareness campaign, will see the installation of dashcams in 100 Rapido cabs to enhance ride monitoring and emergency response times.

Rapido stated that at present, 40 percent of its cab users in Jaipur are women. The initiative, titled ‘Sashakt Nari – Zimmedari Hamari’ (Empowered Women – Our Responsibility), was flagged off by Jaipur Police Commissioner Biju George Joseph and Deputy Commissioner of Police Rajarshi Raj. The campaign underscores the shared responsibility of citizens, service providers and law enforcement in ensuring women can travel safely and with confidence.

Rajarshi Raji said, "Women's safety is a collective responsibility that goes beyond the role of the police. When communities, technology partners, and law enforcement work together, we can create a safer and more supportive environment for women. Initiatives like this campaign help build confidence, enabling women to move freely for work, education and daily life."

Sudipta Sen, Senior Manager at Rapido Cabs, noted, "At Rapido, safety is not an add-on; it is the foundation of every ride. With 40% of cab users in Jaipur being women, our collaboration with Jaipur Police focuses on practical measures that can make every journey safer and more reassuring. By introducing dashcams, providing 24x7 support, and driving awareness campaigns, we are working to make mobility safer, inclusive and truly empowering for women. Our goal is to ensure that every woman in Jaipur should be able to travel with confidence and see mobility as a catalyst for her independence and participation in the city’s growth.”

The dashcams will supplement Rapido's existing safety features, which include an in-app SOS button, real-time ride tracking and a call-masking feature for female customers.

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In a major move set to redefine global connectivity for mobile assets, Luxembourg-based OrbitsIQ Global (OIQ) has completed the acquisition of Munich-based NewSpace startup, UNIO Enterprise. The deal, which combines UNIO’s pioneering connectivity software with OIQ's satellite and terrestrial network capabilities, aims to provide seamless, uninterrupted service to millions of vehicles, boats, planes and autonomous systems worldwide.

The merger is poised to create a ‘ubiquitous bridge’ between cellular and satellite networks, ensuring constant connectivity for mobile assets. The partnership is a significant step towards enabling critical technologies like autonomous driving, smart logistics and predictive maintenance, all of which rely on uninterrupted data flow.

Katrin Bacic, CEO, UNIO Enterprise, said, "Joining OIQ Global marks a turning point for UNIO. With our connectivity expertise and OIQ’s constellation vision, we will redefine how mobility assets connect. This partnership allows us to accelerate our roadmap and deliver the next generation of intelligent connectivity across terrestrial and satellite networks for industries such as automotive, agriculture, logistics and maritime sectors."

Joseph J Euteneuer, CEO, OIQ Global, said, "We are delighted to welcome UNIO Enterprise into the OIQ Global family. Their AI-powered smart-switch connectivity technology is the perfect complement to our global anywhere anytime connectivity vision. Together, we will establish a seamless, multi-band mobility connectivity capability that unlocks new frontiers in efficiency, safety and operational insight around the world."

The companies believe this acquisition positions Europe at the forefront of global telematics innovation, strengthening the continent’s leadership in a field where mobility connectivity has become as essential as fuel.

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