German machinery exports to India to rise 10-15% in 2026
- IBEF
- February 9, 2026
German engineering exports to India are likely to gather pace in 2026, as experts are predicting a rise of 10–15% in 2026, given the strengthening relationship between the two countries and the strengthening of the Free Trade Agreement between India and the EU. The German Engineering Federation, VDMA India, reported that engineering machinery export from Germany to India stood at Rs. 42,746 crores (US$ 4.72 billion) in 2025, and it will grow because of the reduced tariffs and other access provided in the new agreement. Currently, Germany is already the biggest trading partner for India among the members of the European Union, and its advanced engineering technologies are considered crucial in the Indian drive to upgrade its economy, including the ‘Viksit Bharat’ program to increase its manufacturing sector GDP.
During a speech delivered at LogiMAT India 2026 in Mumbai, VDMA India Managing Director Mr. Rajesh Nath emphasized how Germany’s engineering capabilities, especially in the power transmission segment, construction equipment, and logistics, will help India achieve its objective of increasing industrial output. Industry experts believe that a smoother regulatory approach and a rise in the demand for infrastructure and logistics will further enhance Germany’s presence in the industrial market of India. The FTA between India and EU will provide new opportunities for new joint ventures and local production initiatives for the growth of both nations.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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