German machinery exports to India rise 11% as firms look beyond China

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India is emerging as a strategic partner for German and European mechanical and plant engineering industry, driven by rising demand, investment opportunities and efforts to diversify supply chains away from China, according to the German Engineering Federation (VDMA). German machinery exports to India rose 11% to €2.2 billion in the first half of 2026. A VDMA business survey found that 65% of engineering firms operating in India expect order intake to increase, while 56% anticipate an improvement in their business situation. Around 600 VDMA member companies are currently active in India, manufacturing or developing products locally and providing customer services….

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