Jefferies Report: India's New Industrial Revolution

Jefferies says India’s “New Industrial Revolution” is being driven by a large domestic market, rising private-sector participation, and targeted government policies. Key enablers include opening the space sector to private players, tax incentives for data centers, production-linked incentives for solar, semiconductors and electronics, and government procurement of GPUs. India’s space economy is targeting a fivefold expansion to ₹3.79–4.27 lakh crore ($40–45 billion) by 2030, while around ₹1.90 lakh crore ($20 billion) in semiconductor investments are already committed. Growth is also accelerating across data centers, electronics, clean tech and advanced manufacturing. Data center capacity has crossed 2 GW and could exceed 10 GW within five years, creating a ₹4.27 lakh crore ($45 billion) investment opportunity. Electronics value addition is expected to rise to around 50%, while India is now the world’s second-largest solar PV module manufacturer, with over 35 GW of operational cell capacity. In aerospace, global OEMs such as Boeing and Airbus already source ₹13,282–15,179 crore ($1.4–1.6 billion) annually from Indian suppliers.