In a significant move to bolster its global manufacturing capabilities, Rockwell Automation, a leading U.S.-based industrial automation and digital transformation company, has initiated the development of a new manufacturing facility in Chennai, India. This strategic expansion underscores the company’s commitment to leveraging India’s burgeoning manufacturing potential and its established strengths in information technology and software development.
Chennai Facility: A Two-Phase Rollout
The Chennai plant is slated for commissioning in two phases, with production expected to commence in May 2025. The first phase will concentrate on the semiconductor sector, aligning with India’s aspirations to become a significant player in the global semiconductor supply chain. The second phase will focus on manufacturing components for data centers, a sector witnessing substantial investment due to the country’s digital transformation initiatives.
Scott Wooldridge, President for the Asia Pacific region at Rockwell Automation, emphasized India’s dual role in the company’s strategy: “Both for software development and for manufacturing, we see India is going to be a very important hub for Rockwell.”
Expanding Workforce and Capabilities
Over the past four years, Rockwell Automation’s employee base in India has expanded from 1,000 to over 4,000, making it the company’s largest workforce outside the United States. This growth reflects India’s strategic importance in Rockwell’s global talent and operational strategy. The new Chennai facility is expected to create approximately 230 jobs, further contributing to local employment and skill development.
Dilip Sawhney, Managing Director for India at Rockwell Automation, highlighted the country’s significance: “We see that India is a strategic global market for us, and we build a credible footprint there. But we also equally see India as a very strategic component of a global talent strategy.”
Aligning with ‘China Plus One’ Strategy
The establishment of the Chennai facility aligns with the ‘China Plus One’ strategy adopted by many global companies seeking to diversify their manufacturing operations beyond China. India’s favorable economic policies, skilled workforce, and growing market make it an attractive alternative for such diversification efforts.
Collaborations with Indian Manufacturers
Rockwell Automation has a longstanding history of collaboration with prominent Indian manufacturers, including the Mahindra Group, Tata Group, Apollo Tyres, and MRF. These partnerships have been instrumental in integrating advanced automation solutions into India’s manufacturing sector, enhancing efficiency and competitiveness.
Driving India’s Manufacturing Growth
The Indian government aims to increase the manufacturing sector’s contribution to the GDP from the current 15% to at least 20%. Adopting smart manufacturing techniques is pivotal to achieving this goal, making the sector more agile, connected, and competitive. Rockwell Automation’s expertise in industrial automation positions it as a key enabler in this transformative journey.