Advancing I4.0 in India’s Capital Goods Sector: Impact Assessment and a Case Study
- DOI
- 10.2991/978-94-6239-750-7_57How to use a DOI?
- Keywords
- Capital Goods Sector; I4.0; Digital transformation; Smart Manufacturing; Indian Manufacturing Ecosystem
- Abstract
The Capital Goods Sector is a backbone of industrial development and economic growth, its play a very important role in strengthening India’s manufacturing ecosystem. As a major contributor to value-added manufacturing, the Capital Goods significantly influences overall economic development. As Industry 4.0 (I4.0) is steering in India, the implementation of advanced Industry 4.0 technologies has become important to enhance competitiveness and innovation in the Capital Goods Sector. With the aim of making India a global manufacturing hub requires a long-term plan including the development of a robust industrial ecosystem, promoting manufacturing for GDP growth in the country, increasing indigenous technological capabilities, and including disruptive technological changes. The Capital Goods sector includes industries that manufacture machinery, equipment, and tools used in producing other goods and services. The products produced by the Capital Goods are not final consumer products. Since they are required for industrial expansion and manufacturing growth. This paper addresses the pressing need for adopting I4.0 in the Indian capital goods sector through disruptive technologies such as the Internet of Things (IoT), cyber-physical systems, robotics, CNC machines, and predictive maintenance analysis collectively referred to as I4.0. However, increasing technological and organizational complexity has introduced uncertainty regarding the sector’s readiness and capacity to effectively integrate these advancements. Currently, India’s capital goods market is valued at approximately USD 80 billion and contributes around 1.8% to the national GDP. The Capital Goods sector has potential to scale operations, cater to large domestic demand, and enhance its share in global markets. At the age of transforming manufacturing to smart manufacturing, by replacing traditional manufacturing line models with automated system, data-driven production system, improving efficiency and global competitiveness. The paper also provides steps and action taken by the Ministry of Heavy Industries (MHI) to increase Industry 4.0 adoption in the capital goods and automobile sectors. Moreover, it focuses on how Industry 4.0 can help Indian SMEs to use smart centres created by MHI to adopt Industry 4.0, and achieve a competitiveness and productivity in an evolving industrial landscape. This study shows a case study approach combining qualitative institutional analysis with quantitative performance indicators. The cases cover large OEMs, Tier suppliers, MSMEs, research institutions, and automotive sector working on project reports, digital maturity assessments, machine and IoT datasets (OEE, energy, vibration), certification records, and stakeholder consultations.
- Copyright
- © 2026 The Author(s)
- Open Access
- Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.
Cite this article
TY - CONF AU - Vikas Dogra AU - Bhim Singh AU - Himanshu Payal AU - Kumar Abhinav PY - 2026 DA - 2026/08/31 TI - Advancing I4.0 in India’s Capital Goods Sector: Impact Assessment and a Case Study BT - Proceedings of the International Conference on Advanced Design, Manufacturing, and Sustainable Energy Systems (ICADMSES 2026) PB - Atlantis Press SP - 794 EP - 807 SN - 2589-4943 UR - https://doi.org/10.2991/978-94-6239-750-7_57 DO - 10.2991/978-94-6239-750-7_57 ID - Dogra2026 ER -