India emerges as a strategic ally for the Italian Machine Tool Industry

By Staff Report June 5, 2025 7:03 pm IST

India’s rapidly expanding industrial base, emphasis on “Make in India,” and growing demand in automotive, aerospace, electronics, and defence make it an attractive destination for Italian businesses. India’s demand for advanced technology, reliability, and energy-efficient machinery aligns with Italy’s reputation for innovative solutions. Nilesh Joshi, Business Manager for Italian Machinery at the Italian Machine Tool Association, discusses the current global trade landscape in the machine tool sector, particularly with emerging economies like India.

How does UCIMU view the current landscape of global trade in the machine tool sector, particularly with emerging economies like India?
The current global trade environment presents opportunities and challenges in UCIMU’s focused sectors. We are turning to high-growth economies like India because, despite the solid, mature markets in Europe, development is modest. India’s rapidly expanding industrial base, emphasis on “Make in India”, and growing demand in automotive, aerospace, electronics, and defence make it an attractive destination.

In addition to being an export destination, Italian businesses see India as a possible long-term partner for joint ventures and local manufacturing. India’s demand for advanced technology, reliability, and energy-efficient machinery aligns with Italy’s reputation for innovative solutions. 

How does UCIMU facilitate partnerships between Italian machine tool builders and manufacturers in countries like India?
Through our unique initiatives and projects in India, we have established a well-organised ecosystem to promote Italian excellence and industrial collaborations in the machine tool sector. UCIMU plays a key role in supporting the internationalisation of its members. Our Italian Machinery Desk in India with AMAPLAST (Italian Plastic & Rubber Machinery Association) based at the Indo-Italian Chamber of Commerce (IICCI) and the Italian Technology Centre – a dedicated market development platform for associations’ member companies with a presence in Pune & Delhi – serves as a concrete platform allowing Indian manufacturers to directly engage with Italian machine tool builders for technology requirements, information about the Italian machine tool sector, technical support, and customised solutions.

Our collaboration with Italian Trade Agency (ITA) offices in India and our long association with the Indo-Italian Chamber of Commerce for promotional initiatives actively facilitate B2B matchmaking, industrial delegations, and participation in trade fairs like IMTEX. We also have to stress the importance of our partnership agreement with IMTMA (Indian Machine Tool Manufacturers’ Association), with collaborations in different fields on behalf of members of both associations: technical standards, joint promotion, participation in sectoral exhibitions, etc.

How has globalisation influenced the operations of Italian OEMs, and what challenges do they face in borderless trade?
Globalisation has allowed Italian OEMs to reach customers in different parts of the world. Companies have set up technology centres, demos, services, warehouses, and manufacturing units in other countries to provide faster support and proximity to clients.

This global presence brings many benefits and some challenges. For example, companies must manage different time zones, offer round-the-clock support, and compete with local manufacturers from a commercial perspective. Sometimes, even though we talk about a ‘borderless’ trade environment, differences in regulations, import duties, or local manufacturing rules can make international business more complex. These aren’t necessarily barriers but require careful planning and understanding of each market.

How are ongoing geopolitical tensions (such as the US-China trade disputes and Brexit, etc.) affecting global trade and the resilience of supply chains for Italian machine tool manufacturers?
In today’s interconnected world, shifts in geopolitical dynamics naturally influence global trade flows and supply chain strategies.  Like many of their international counterparts, Italian machine tool manufacturers closely monitor these developments and adapt with a greater focus on resilience and flexibility. This includes reassessing sourcing strategies, exploring regional diversification, and strengthening partnerships in markets with stable long-term growth prospects, such as India. The goal is to ensure continuity of service, maintain high delivery standards, and remain responsive to customer needs in the developing global environment. Rather than viewing these changes as disruptions, many Italian companies see them as opportunities to innovate and build more active supply chains.

How do you see the role of global standards and certifications in enabling seamless trade and interoperability in the machine tools industry?
Global standards and certifications are fundamental in today’s machine tool industry. They ensure quality, safety, and compatibility across borders, essential for operating in multiple markets. Italian manufacturers are known for engineering excellence and comply with major international standards such as ISO, CE, and Industry 4.0 readiness norms.  

Our UCIMU mark certification demonstrates the commitment of Italian machine tool manufacturers to quality, efficiency and environmental sustainability, which can enhance market differentiation and consumer confidence. For emerging markets like India, adherence to global standards helps local users integrate seamlessly into global supply chains. As digitalisation and smart manufacturing grow, it will become increasingly important for machines, software, and systems to work together seamlessly. This will require following common standards, making certifications even more important for future trade.

What support does UCIMU offer to help Italian SMEs integrate into the supply chains of large global OEMs and establish a foothold in growing markets like India?
We, with Italian institutions, provide comprehensive support to SMEs, which form the backbone of the Italian industrial system. These include export promotion programs, internationalisation initiatives, credit finance facilities, collaboration with Italian financial institutions, customised market intelligence, business matchmaking events, and training. Specific to India, we are organising collaborative programs such as technical webinars, seminars, and Italy country pavilions organisations in key Indian international exhibitions, providing a platform to Italian SMEs for establishing a foothold in the growing Indian market.