India has been placed sixth among 11 Asian economies in the Asia Manufacturing Index 2026, a ranking that assesses manufacturing competitiveness across eight pillars and 43 sub-parameters. The latest edition marks shifting positions among major Asian manufacturing hubs and underlines the growing pressure on India to strengthen its industrial performance.
Index Overview
The Asia Manufacturing Index is in its third year. It compares major manufacturing economies in Asia on a broad set of indicators. These include cost conditions, infrastructure, labour, trade environment, innovation, and policy support. The index is designed to measure relative competitiveness in the regional manufacturing landscape.
India’s Position
India’s sixth-place ranking shows that it remains behind several key Asian competitors in the manufacturing race. The result suggests that India must improve its industrial ecosystem to compete more effectively with economies that have stronger manufacturing capabilities and export orientation. The ranking is for policy discussions on Make in India, supply chain resilience, and industrial upgrading.
Regional Shifts in Rankings
The 2026 index shows notable changes among Asian economies.
- Malaysia rose to second place for the first time.
- Vietnam slipped to third place.
- Singapore moved up to fourth place.
- South Korea fell to fifth place.
These changes indicate intensifying competition among Asian manufacturing centres.
Implications for India
India’s ranking points to the need for stronger manufacturing reforms. Key priorities include improving logistics, reducing compliance costs, upgrading infrastructure, and expanding skilled labour availability. Greater focus on technology adoption and export competitiveness may also help India improve its standing in future editions of the index.
Last Modified: April 27, 2026